Steel Authority of India (SAIL) one of the major flat steel producing companies in the country has increased prices of Flat Steel (HRC, CRC) by around INR 650/MT. New rates will be effective from 1 Feb, 2014. Decision on the price hike by other players like JSW, Tata and Essar is still awaited.
Prices for HRC (2.5 mm) in Ludhiana have increased by INR 500-650/MT. Currently, prices of HRC in the city is hovering in the range of INR 43,000-44,000/MT (including ED, taxes extra), whereas prices for Cold Rolled Coil in Ludhiana is in the range of INR 47000-48000/MT (including ED, taxes extra), i.e. its prices increased by INR 500/MT.
[su_quote]Price hike in the material is unlikely to be absorbed by the traders and end users. Demand for material is quite poor in the state. Traders in Punjab have moved to court against tax credit of 2.5% for which they have paid 4.50% on Iron and steel items purchased till 31 Jan, 2014. The move will affect buying in the state for all steel items.[/su_quote]
-Trader as well as MOU holder Ludhiana
Price hike was also seen in Hyderabad with HRC/CRC prices increasing by INR 700/MT. Current trading price for HRC is INR 44,600/MT (including ED, taxes extra),, while CRC is trading at INR 47,700/MT(including ED, taxes extra),.
[su_quote]We are selling material at previously quoted price because of huge stockpile in the inventory. Currently, we have about 400-500 MT of material which we have purchased in the previous price. Affect of the increased prices will be seen only after sales of present stock.[/su_quote]
-Trader based in Hyderabad
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