After the recent hike in flat steel products prices by major Indian steel makers, prices remain stable this week owing to slack demand existing in the domestic steel market.
As Nov-Dec is usually considered to be the peak season for the steel industry which drive the Indian manufacturers to raise the flat steel prices.However,the wave of demonetization has caused the liquidity crunch and is affecting the steel demand to great extent.
Major Indian steel makers had raised flat products prices on the backdrop of higher raw material costs, however limited trades keeps domestic sentiments dull.Hence,demand for flat steel product remains sluggish owing to higher domestic prices.
Current offers of HRC 2.5 mm (IS 2062) are assessed in the range of INR 41,000-41,500(ex-Mumbai), INR 41,500-41,700 (ex-Delhi),INR 41,500-42,000 (ex-Chennai). Prices inclusive of excise duty of 12.5%.
Current offers of CRC 0.9mm are registered in the range of INR 46,000-46,500(ex-Mumbai),INR 48,000-48.500 (ex-Delhi),and INR 46,000-46,500 (ex-Chennai). Prices inclusive of excise Duty of 12.5%.
Although,secondary manufacturers and traders remain distressed on account of poor demand and liquidity crunch in domestic market.
Despite this, few major steel manufacturers in India are planning to further raise the flat product prices in near term.
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