Wednesday, January 05,
It is reported that some of the steel majors in India have hiked domestic prices applicable for sales in January with immediate effect.
Although clarity about exact quantum of hike is yet to emerge, following media reports have been published.
SAIL
PTI reported that Steel Authority of India Limited said that it has hiked prices across product categories by 3% or about INR 1,000 per tonne.
JSW
Reuters reported that JSW Steel Ltd has raised flat product prices by INR 1,400 per tonne to INR 1,700 rupees a tonne or about 4% to 5% across various grades.
PTI, citing an official, reported that JSW Steel may also increase the prices of its long products.
Essar
PTI reported that Essar Steel has also increased the prices by about 5% across product categories.
TATA Steel
As per market information, TATA Steel has hiked rebar prices by INR 2500 per tonne for retail sales
The international quarterly price settlements for January to March period are reported to be up by about 8% for iron ore and 10% for coking coal.
Thus all the steel makers have cited higher prices of input materials as the reason behind the price hike.
But the major factors in hiking price are the surge in market prices.
Flat products prices in Indian market, to a great extant, move in tandem with global levels, which have surged by almost USD 50 per tonne in December.
On the other hand, long product prices in the Indian market have surged by almost 10% in December.
While the flat product price hike is likely to stick, the fate of long products is uncertain as the market for sponge iron and pencil ingot has already started to show first signals of weakening on January3rd 2010.
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