Indian Buyers Cautious on Structure Price Hike

Structure prices in Durgapur & Raipur increased, while other markets remain unchanged. SAIL cut purchase quantity from its conversion agents.

Durgapur Structure prices has improved by INR 200/MT during the week. Slight improvement in demand resulted in price hike. Market participant believe that demand from Assam & Jharkhand supported increased offers.

Structure manufacturers based at Raipur have also raised offers by INR 200/MT in this week. However, buyers do not agree to pay the increased offers and refuse buying. A native manufacturer told Steelmint, “Buying in last few days was good as traders are trying to stock material. But, manufactures held the purchasing, after the price hike”.

Steady demand and marginal improvement in Ingot & Billet prices have kept Structure offers unchanged in other locations.

Ghaziabad based Trader said, “Buying has slightly fallen on account of Holi.  Earlier, we had sold around 150 MT per day and in this month it now came down to 100-125 MT daily.” Prices are same in the city from last week.

Prices in Mumbai & Hyderabad also remain stable. Market participant expect prices to more or less same in the month owing to limited trade movement.

SAIL, a Maharatna Company of India, has reduced the buying quantity of Structural items from its conversion agents. While speaking with the conversion agents, confirmed that SAIL cut around 40% orders for Structures.

Brand Wise Structure Prices as on 20 Feb, 2014

Basic prices in INR/MT; Only reference prices;