- Tighter availability in specific thicknesses supports price hikes
- Improved buying activity supports prices despite cautious sentiment
Indian hot-rolled (HR) plate prices increased across key markets in the week ended 30 September, supported by higher mill price indications, tighter availability in specific thicknesses and improved buying activity. Mumbai HR plate prices for IS 2062 Grade E250 Br, 20-40 mm, rose INR 1,000/t w-o-w to INR 66,900/t, while Delhi prices increased INR 900/t to INR 66,800/t.
HR plate prices gain amid firmer HRC market
The Mumbai increase was supported by higher mill price indications and improved demand, although need-based buying limited broader price acceptance. In Delhi, steady buying activity was sufficient to support prices.
BigMint’s bi-weekly benchmark assessment for Mumbai HRC, 2.5-8 mm/CTL, IS 2062 Grade E250 Br, remained unchanged w-o-w at INR 63,900/t ex-Mumbai as of 29 September.
HRC prices were stable to slightly higher across key markets following recent price hikes by major domestic mills. Buying activity improved, with stronger enquiries reported in western and southern markets, while northern demand remained largely need-based. Availability of thinner gauges also remained relatively tight in northern and southern markets.
Tight availability supports plate prices
Supply of specific HR plate thicknesses, particularly 8-10 mm in E250 Br and E350 Br grades, remained tight during the week, supporting the price increase.
Inventory conditions varied by region. Market participants reported relatively good inventory availability in the north, at around 80%, while western markets faced more limited stocks.
A market participant said, “Supply is currently very limited, while some sellers are liquidating material because of payment-related cash-flow constraints.” The participant added that once payment conditions improve, the market could regain strength in the coming week.
Another participant said, “We are just clearing the inventories at whatever price we have. We have to sell. The market is too volatile, so we are just moving in it.”
Buying improves but price resistance remains
Demand improved modestly across key markets, with buying activity picking up following recent mill price increases. Western and southern markets saw stronger enquiries, while northern buyers continued to procure mainly against immediate requirements.
However, higher prices have made buyers cautious, limiting broader acceptance of the latest increases. The combination of improved enquiries, tighter availability and higher mill indications continued to support the market.
Imports remain significant
India’s HR plate imports stood at 52,050 t as of 25 September, with another 4,438 t expected to arrive by early October. Chinese material imported under the Advance Authorisation Scheme by a major domestic mill was also reported in the market for re-export requirements.
India’s HR plate exports stood at 1,116 t as of 25 September, with another 27,671 t expected to be shipped by the end of September.
Outlook
HR plate prices are expected to move higher in October as festive-season demand is expected to improve and mills are expected to maintain higher price indications. Tight availability in selected thicknesses could provide additional support.
However, buyers remain cautious at elevated price levels and may continue to adopt a wait-and-watch approach. The pace of further price increases will therefore depend on actual procurement activity and the extent to which higher mill indications are accepted by the market.
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