India’s steelmaking costs jump 18% y-o-y in Sept’26

India’s integrated steelmaking costs have risen sharply, with coal-based fuels accounting for most of the increase. The development strengthens the case for mills to recover higher costs through steel prices, although their ability to pass on the increase will depend on buying appetite and competing supply. BigMint’s analysis of a reference blast furnace-basic oxygen furnace (BFBOF) model estimates crude steel cost at INR 39,700/t in September 2026, up approximately INR 6,000/t, or 17.7%, y-o-y. This is the highest level in the January 2025-September 2026 period.