Primary producers of flat steel like SAIL, ESSAR and Jindal are expected to roll over there mid July prices for HRC and CRC, which they have hiked in the beginning of the month. Major reasons for roll over in the prices are less buying interest from end users, liquidity crunch and less booking from MOU holders across the country.
Currently ex works prices for HRC are in the range of Rs 34000-35000/MT which is same when compared to the prices announced in the beginning of the month (July'13). On the other side trading prices across the country are in the range of Rs 40500-42000/MT.
Speaking to an MOU holder as well as a trader based in Hyderabad about the market he had the following view:
“Flat market is going under a tough phase, we are not finding buyers for the material” he said. Even if the prices are reduced by Rs 2000 the chances are rare that buyers will be interested for buying he further added.
Leave a Reply