- Trade remains slow amid volatile demand
- ERW prices shows mixed price trends
ERW patra pipe prices (41-60 OD) showed mixed trends in the week ended 28 Nov, in Raipur and Mandi Gobindgarh. In Mandi, prices dropped slightly, while Raipur prices rise w-o-w with slow demand for steel. However, d-o-d, prices dropped INR 200/tonne (t) in Raipur and Mandi Gobindgarh on Friday.
Current steel prices are INR 39,000/t in Raipur and INR 42,100/t in Mandi Gobindgarh. Listed prices are ex-works (exw), excluding 18% GST.
ERW patra pipe prices in Mandi Gobindgarh and Raipur have increased since the beginning of the week, driven by subdued demand and cautious buying sentiment. Buyers anticipate additional price fluctuations, while volatile demand for raw materials (billets and HR strips), impacting finished steel sentiment.
Weekly prices:
Raipur reported a rise in prices this week, while prices in Mandi dropped compared to last week.
Raipur: Prices increased by INR 500/t w-o-w on Friday to INR 39,000/t from INR 38,500/t on 21 November. Trade volumes of around 2,500 t of were recorded this week, indicating demand slowdown. As per BigMint sources, “despite the rise in prices, demand in the finished steel segment remains slow”.
Mandi: Prices declined by INR 100/t w-o-w to INR 42,100/t on 28 November as compared to INR 42,200/t a week ago. Trading activities of approximately 1,000 t in patra-based pipes were recorded this week. BigMint source indicates, “the market is seeing low sales, and although prices may climb, while real demand is still missing”.
Raw materials price impact:
HR strip (patra) prices rose by INR 800/t w-o-w to INR 38,600/t against INR 37,800/t on 21 November. However, patra prices in Mandi remained stable w-o-w at INR 41,100/t.
Billet prices in Raipur increased by INR 550/t w-o-w to INR 36,150/t on 28 November from INR 35,600/t previous week. Moreover, prices in Mandi Gobindgarh stood at INR 40,150/t, up by INR 400/t w-o-w as compared to INR 39,750/t on 21 November.
Outlook
ERW patra pipe prices in Raipur and Mandi Gobindgarh are expected to remain volatile due to fluctuating demand and raw material costs. Buyers may continue to adopt a cautious stance, anticipating further price fluctuations.
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