Domestic plate makers have kept prices unchanged for July deliveries. While, the manufacturers are offering discount on bulk bookings. Current offers for base grade MS plate are assessed at INR 29,000/MT ex-factory (excluding Excise and taxes).
“Plate manufacturers have rolled over their offers. However, companies are willing to push material in market by giving additional discount on bulk bookings. Imported offers are quite attractive that will keep domestic prices under pressure”, said a plate dealer in North India.
Rising import from China and Indonesia poise a big threat for Indian plate manufacturers. Chinese offers for commercial grade have fallen to USD 340-350/MT, CIF India on which import duty is 10%. Indonesian fresh offers have not been declared yet. Last offers were USD 405/MT, CIF India.
It is be noted that ASEAN countries (including Indonesia) are enjoying zero duty under preferential trade agreement effective from 1 Jan’15.
POSCO-Indonesia, which has recently started its plate mill in association with government owned Kartatau, is quite aggressive to Indian market. Indian plate import was recorded at 0.23 MnT in FY16 (Apr-May’15) and 0.73 MnT in FY15.
Country-wise Plate Import in FY15 & FY16
|
Countries |
FY15 |
FY16 |
||
|
Apr’15 |
May’15 |
Total |
||
| Japan | 89.95 | 36.68 | 10.74 | 47.42 |
| Germany | 13.73 | 19.35 | 25.89 | 45.24 |
| Indonesia | 13.49 | 0 | 45.14 | 45.14 |
| China | 238.49 | 7.26 | 36.19 | 43.45 |
| Korea | 141.19 | 17.42 | 14.29 | 31.71 |
| France | 91.98 | 14.09 | 0.24 | 14.33 |
| Ukraine | 55.43 | 0 | 0.1 | 0.1 |
| Others | 87.53 | 0.55 | 2.29 | 2.84 |
| Total | 731.75 | 95.35 | 134.88 | 230.23 |
Quantity in 000′ MT
Source: JPC
Trade-wise:
1. Chinese commercial plate offers are in the range of USD 340-350/MT, CIF India
2. POSCO-Indonesia offers are yet to be declared. Last offers were USD 405/MT, CIF India
3. MS slabs from Korea heard to have offered at USD 295/MT, FoB Korea
Leave a Reply