Viewing the limited sales activities taking place in finished steel market, Indian billet manufacturers have today plummeted their offers by INR 100-500/MT across major markets against the last day closing.
On the flip side, input costs of Pig iron have upsurged by INR 1,000/MT, iron ore by upto INR 270/MT and imported scrap by USD 5-10/MT this week. However, manufacturers are presently tussling with high power cost in central India.
“Water shortage in Maharashtra MIDC area has halted the construction activities as the government has cut 40-45% of water supply”, shared a rebar manufacturer in Mumbai.
Besides, low infrastructure activities will continue to build pressure on finish long sales. But, increase in primary producers’ prices and high input cost will support billet price at present level.
MS billet prices as on 6 Apr’16
| Particular | Prices | D-o-D | W-o-W |
| Ex-Durgapur | 22,550 | -50 | -100 |
| Ex-Rourkela | 21,700 | -400 | 250 |
| Ex-Raipur | 22,600 | -150 | -100 |
| Ex-Ahmedabad | 24,950 | -350 | 50 |
| Ex-Jalna | 24,500 | 0 | 0 |
| Ex-Mumbai | 24,400 | – 100 | 0 |
| Ex-Chennai | 26,700 | 0 | 1,400 |
| Ex-Hyderabad | 25,500 | – 500 | 0 |
Prices in INR/MT
Source: SteelMint Research
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