- Mumbai prices rise INR 300/t w-o-w, Delhi prices fall INR 1,300/t
- Need-based buying, high inventories weigh on market sentiment
Indian hot-rolled (HR) plate prices moved in opposite directions across Mumbai and Delhi in the week ended 21 October, as subdued demand and cautious procurement weighed on market activity. Prices in Mumbai increased by INR 300/tonne (t) week-on-week (w-o-w), while Delhi prices declined by INR 1,300/t, reflecting differing regional price trends amid limited buying interest.
HR plate prices for IS 2062 Grade E250 Br, 20-40 mm, in Mumbai rose to INR 67,800/t from INR 67,500/t a week earlier. In contrast, prices in Delhi fell to INR 66,400/t from INR 67,700/t over the same period.
Despite the divergent price movements, demand remained largely need-based in both markets, with buyers restricting purchases to immediate requirements rather than building inventories.
A Mumbai-based HR plate trader said, “Demand is gradually picking up, with corporate enquiries increasing. As the market has stabilised, companies have resumed procurement. However, material availability remains high, as buyers had stocked up heavily during the last week of September in anticipation of price increases.”
HRC benchmark also declines
Weakness extended to the broader flat steel market, with Mumbai’s bi-weekly benchmark assessment for hot-rolled coil (HRC), 2.5-8 mm, cut-to-length (CTL), IS 2062 Grade E250 Br, falling by INR 300/t w-o-w to INR 63,700/t ex-Mumbai as of 19 October.
The decline in the HRC benchmark indicates continued pressure on flat steel prices despite signs of improving enquiries in some market segments.
Trade flows and import activity
India’s HR plate imports stood at 11,803 t as of 16 October, with an additional 1,196 t expected to arrive from South Korea by the end of October. Exports totalled 27,667 t, according to the available trade data.
The import arrivals add to domestic material availability, while the export volume indicates that Indian HR plate producers and traders are also supplying overseas markets.
Outlook
A major steel mill’s INR 500/t price increase could provide support to domestic HR plate prices if other market participants follow the revision. However, subdued demand, elevated material availability and limited inventory replenishment are likely to constrain price gains. The extent to which the announced increase translates into actual transaction prices will depend on buyers’ willingness to resume procurement and the pace of demand recovery.
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