Hearing against MIP on wire rod has been re-schedule on 21 Apr’16 in the Delhi High Court, which was postponed earlier.
The Delhi High Court has re-schedule the hearing on the petition filed against imposition of MIP on wire rod on 21 Apr’16, reported an official of Steel Wire Manufacturers Association of India (SWMAI).
Earlier, the court had scheduled the same hearing on 6 Apr’16, which has been postponed further.
After the MIP imposed on various steel products, including wire rod, downstream wire industry were facing shortage of material in Indian market. As a result, SWMAI had filed a petition against imposition of wire rod in the mid of Mar’16.
Currently, Chinese wire rod offers are assessed at around USD 390/MT, FoB main port.
Presently, secondary wire rod manufacturers based in Raipur and Durgapur are offering 5.5 mm material at around INR 32,900/MT (USD 497/MT) and INR 31,200/MT (USD 471/MT) (inclusive of excise duty & VAT) respectively.
Primary market
A large wire rod trader based in north India shared, “Steel Authority of India Limited (SAIL) is offering 6mm wire rod at INR 35,600/MT (USD 538/MT), (inclusive of excise duty, CST, freight) in Punjab.”
Another trader based in south India also shared that RINL (Vizg steel) is presently offering at around INR 35,000/MT (USD 529/MT) (excise duty included, VAT/ CST extra) in Vishakapatnam for 5.5 mm.
It clearly shows that domestic wire rod offers for both primary and secondary producers are now higher than minimum import price (MIP), which was fixed by the Indian government in the range of USD 449-451/MT on 5 Feb’16.
Note: USD 1= INR 66.2
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