Market sources shared with SteelMint that major Indian steel manufacturers have started exploring Middle East markets amid weak buying interest from SE Asian nations.
Major Indian steel manufacturer based in western region is heard to be in talks to book HRC for export to Middle East at around USD 500/MT CFR basis for January shipments. However the quantity of bookings was not known at the time of publishing the report.
Imported HRC offers to Vietnam from India remain on lower side- As per market sources major Indian mill based in eastern region concluded deal of around 10,000-20,000 MT of HRC with Vietnam at USD 475-480/MT CFR basis for January shipments. This will come around USD 460-465/MT FoB basis,if freight component is considered around USD 15.
Other major mill was also offering HRC export offers to Vietnam a around USD 490-495/MT CFR basis for January shipments.But no deal concluded in these offers.
Domestic HRC prices are trading close to one year low- As per the data maintained with SteelMint,Indian HRC prices in traders market are hovering almost one year low,which provides enough room to Indian steel makers to export HRC to overseas nations.
Current trade reference prices for HRC (IS2062) 2.5 mm-8 mm is around INR 43,000-43,500/MT (ex-Mumbai) and INR 42,000-42,500/MT (ex-Delhi).
Indian flat steel exports in Jan-Oct’18- According to data maintained with SteelMint, India exported 4.59 MnT flat steel in Jan-Oct’18. Out of this, HRC/Plates share was 2.62 MnT. Major destinations of Indian flat steel exports were – Italy, Belgium, Nepal, UAE and Vietnam.
However India exported 0.40 MnT flat steel to Vietnam and occupies the share of 8.74% in Jan-Oct’18.And UAE accounted for share of 0.50 MnT and occupied the share 11% in Jan-Oct’18.
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