Structure manufacturers in Raipur (Chhattisgarh) are bounded to correct their prices on the background of modest steel demand in the domestic market. In the month of September, the prices were unchanged, but observing the poor response from market, they have reduced the offers again by INR 400/MT in this week. As per SteelMint’s data analysis, Structure prices had corrected by around INR 1,000-1,400/MT in Oct’14. Whereas, it was unchanged in Sep’14.
In spite of falling Structure prices in India, conversion gap from MS Ingot/Billet to Structure is at the same level of around INR 3,200-4,000/MT because of same price correction in MS Ingot/Billet & Scrap.
A Structure manufacturer based in Raipur said, “We still have ground stock of material. The prices will remain at these levels until the inventory get cleared.”
Individual Structure offers are competitive. Some of the manufacturers are offering the material at below market price in order to attract buyers. The manufacturers are running their plants at 60-70% level. Market sentiments seem to be positive but will sustain for long term.
Khyati Ispat is offering 116 H-Beam at INR 34,500/MT ex-Raipur (advance payment). While, Monnet Ispat is offering 500 I-Beam at INR 36,900/MT ex-Raipur (advance payment).
On the other hand, Wire (HB, GI, Binding wire) offers in Raipur & Durgapur have corrected by around INR 200-1,700/MT M-o-M because of dull sales and rise in imports from China.
Structure manufactures based in Raipur have changed the gauge difference for some of Structural (Angle, Channel, Beam) items. For more information click on http://www.steelmint.com/fileForMail/Raipur_Structure_Gauge.xlsx
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