SteelMint has heard from its market sources that this week domestic flat product prices have registered a fall of INR 500-1000/MT in traders market due to lull in the market ahead of upcoming Diwali festival.
Current offers for 2.5mm HRC(IS2062) are being heard at INR 37,000-37,800/MT (ex-Mumbai), INR 37,000-37,500/MT (ex-Delhi) and INR 37,500 /MT (ex-Chennai).
While 0.9mm CRC prices are assessed at INR 43,0000-43,500/MT (ex-Mumbai), INR 44,000/MT (ex-Delhi) and INR 43,500/MT (ex-Chennai).
With the upcoming festival season, traders are liquidating their inventories even at discounted prices. However, there is no change in the prices from the manufacturers end.
The prices in the secondary market are expected to move up only after the first week of November when traders will be back in the market after Diwali holidays.
The increase in raw material prices coupled with imposition of MIP has led to increase in domestic flat products prices by INR 6,000-6,500/MT from the manufacturers end in last three months.
However, as per SteelMint analysis, further price rise may be difficult for the Indian players as the domestic prices will otherwise come at par with landed cost of imports despite various trade restrictions being imposed.
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