A sharp price gain of INR 400-800/MT has been witnessed in Indian billet market since a week. Anticipated imposition of safeguard duty on semis and other steel products has supported the market.
Alongside, stable imported scrap offers in global market has also lent support to semis prices in domestic market.
Major rise in prices are witnessed in markets such as Durgapur (+600), Rourkela (+400), Raipur (+500) and Mumbai (+400). However, south Indian market had remained stable this week.
Contrastingly, prices of key raw material, iron ore are declining persistently, viewing continuous fall in sponge iron offers. Recently, NMDC has reduced lump prices by INR 300-360/MT and ROM by INR 260/MT, but kept fines offers unchanged. Odisha miners have also followed suit and reduced lump prices by INR 150-250/MT and kept fines stable.
It seems that domestic prices may find support at current price levels and may improve in near-term till Indian government takes some decision on safeguard duty.
Leave a Reply