Category Archives: Pipes

India: APL Apollo slashes prices by INR 2,500/t on dwindling sales

India: APL Apollo slashes prices by INR 2,500/t on dwindling sales

India’s largest ERW pipe manufacturer, APL Apollo, announced a downward correction in its prices by INR 2,500/tonne (t) ($34), on 23 Jul ’21 on account of low sales, SteelMint understands from credible market sources.

The current trade offers as of week 30 of CY ’21 for base grade ERW pipes (25-125 NB, 2.2-6 mm thickness) are assessed at INR 67,500/tonne (exy-Delhi), INR 67,750/t (exy-Mumbai) and INR 65,500/t (exy-Raipur). Prices have declined since last week and do not include GST @ 18%.

“Liquidity crunch and subdued demand have led to sluggish sales in the domestic market. APL Apollo Tubes may correct their list prices further by INR 1,500-2,000 in a week’s time,” said a pipes distributor from Delhi.

Also, Tata Tubes is likely to correct its list prices by INR 1,500-2,000/t in 2-3 days owing to slump in demand and limited sales in the domestic market, SteelMint learnt from a Tata Tubes distributor based in Mumbai.

At present, Tata Tubes is reported to be booking coil-based pipes at INR 70,000/t ($937/t), ex-Jharkhand for Jul ’21 deliveries, compared to the last revised price in Jun ’21 at INR 72,000/t ($962/t). Prices do not include GST @ 18%.

Domestic HRC trade prices under pressure

Amidst bearish market sentiments and sluggish sales, domestic HRC trade prices continue to remain under pressure.

SteelMint’s prices for the benchmark 2.5 mm hot-rolled coils (HRC) remained unchanged at INR 64,000-65,000/tonne (t) exy-Mumbai for the second consecutive week. The prices mentioned above are exclusive of GST @18%. However, prices in the other key markets of Chennai and Faridabad saw a decline over the previous week.

SteelMint expects that prices may remain range-bound due to the increase in HRC export offers and uptrend in Chinese futures.

India: Domestic HRC prices bearish on dull demand

Delhi realty sector hit

Consequent lockdowns have brought Delhi’s real estate market to a standstill.

Housing sales slumped by 70% q-o-q in Apr-Jun ’21 in Delhi owing to the sporadic lockdowns since April.Residential enquiries started drying up from the first week of April.

Despite businesses reopening from June onwards, the partial lockdown persisted in some zones, slowing down the recovery process. The non-operational markets kept the unsold inventory in Delhi NCR unchanged at 1.5 lakh units in the quarter ending Jun ’21.Financial adversity and sellers’ unwillingness to offer discounts compelled many prospective buyers to defer their purchases.

Outlook

Demand is expected to rebound if Indian mills provide price support to escalate buying. Also, the pipes manufacturers may further correct ERW prices to boost sales in the domestic market.

 
Indian pipe manufacturers continue to remain cautious over API grade HRC imports

Indian pipe manufacturers continue to remain cautious over API grade HRC imports

Indian steel pipe manufacturers continue to remain cautious over API grade HRC and plates import on the back of higher import costs.

The current offers from Korea for X70 grade API HRC stands at around $1,180-1,200/t CFR Kandla and that of X70 grade API HR plates stand at around $ 1250-1275/t CFR Kandla, SteelMint understands from market sources. The current import offers being high, Indian steel mills are resorting to the domestic market for their procurement needs. The current offers from domestic suppliers for API X70 HRC stands at around INR 75,000-77,000/t ($1,008 -1,035). Although we understand from market participants that some quantities need to be imported and thus enquiries are there but no deal has matured yet.

The Assam-based Numaligarh Refinery Limited (NRL) had initiated an integrated Refinery Expansion project, for which major pipe manufacturers are making API grade pipes. The company earlier stated NRL has embarked on a major Refinery Expansion project to treble its capacity from existing 3 MMTPA to 9 MMTPA at a project cost of more than INR 22,000 Crore, the highest ever investment in the North East of India. Of the total estimated requirement of 2,00,000 t of X70 grade (9.2-15.9 mm) of material, around 60,000 t is to be imported. The remaining quantity will be domestically procured, a credible source shared with SteelMint.

Almost all of the pipe manufacturers involved, with the exception of Jindal SAW, have started their production of API X70 pipes required for the project, SteelMint understands from market sources.

Shri. S.K. Barua, Managing Director of Numaligarh Refining Company Limited, recently tweeted that the first lot of pipelines were getting ready for dispatch from Ratnamani, Kandla, Gujarat. He emphasized that, “This is the beginning of laying of the crude oil pipeline from Paradip to Numaligarh. Assuring crude oil for all NE refineries.” 

The domestic players who have bagged the orders for NRL project include Ratnamani (55,000 t), Jindal SAW (26,000 t), Welspun Corp (18,500 t), Surya Roshni (26,000 t), MAN Industries (55,000 t) and AM/NS India (20,000 t).

Shri. Amar Nath, Additional Secretary, Ministry of Petroleum; Natural Gas, Govt of India has asserted that investments in the oil sector especially upstream is necessary and will continue in India. “Upstream companies have the opportunity to transform itself and contribute to the growth of the nation as well as sustainability of the climate. The need for oil and gas will continue in India for at least 20 years” he added.

 
India: APL Apollo slashes pipe prices by INR 2,500/t ($34)s by $34/t

India: APL Apollo slashes pipe prices by INR 2,500/t ($34)

Leading structural steel tubes manufacturer, APL Apollo Tubes Ltd, has reduced pipe prices by INR 2,500/t ($34) to INR 65,500/t ($874/t) FoR Chhattisgarh, effective from today for Jul ’21 deliveries. This is the first price reduction by the company this month. The current offer for base grade (25-125 NB, 2.2-6 mm thickness) material is at INR 67,750/t exy-Mumbai and INR 67,500/t exy-Delhi. APL Apollo has reduced pipe prices owing to low sales and sluggish demand.

 
India: Key ERW pipe makers keep prices stable on weak demand

India: Key ERW pipe makers keep prices stable on weak demand

The electric resistance welded (ERW) coil-based pipe producers have kept their list prices stable this week on the back of bearish domestic market sentiments and low demand, as per the latest information shared with SteelMint.

Subdued demand and low buying interest have made the traders more cautious, leading to limited trade activities in the market.

“APL Apollo Tubes prices remain stable amid subdued demand although trading activities have started to pick up in the domestic market,” said a Mumbai-based APL Apollo Tubes distributor.

At present, Tata Tubes is reported to be booking coil-based pipes at INR 70,000/t ($937/t), ex-Jharkhand for Jul ’21 deliveries, compared to the last revised price in Jun ’21 at INR 72,000/t ($962/t). Prices do not include GST @ 18%.

SteelMint’s current trade offers as of week 29 of CY ’21 for base grade ERW pipes (25-125 NB, 2.2-6 mm thickness) are assessed at INR 70,000/t (exy-Delhi), INR 70,250/t (exy-Mumbai) and INR 68,000/t (exy-Raipur). Prices have remained unchanged since last week and do not include GST @ 18%.

Domestic HRC trade prices fall

Indian HRC trade prices registered further decline since the market is dull and bearish due to sluggish trade activities. Traders are expecting a further fall in prices, thus delaying their purchases in the domestic market.

SteelMint’s prices for the benchmark 2.5mm hot-rolled coils (HRCs) stand at INR 64,000-65,000/t (exy-Mumbai), showing a decline of INR 500-1,000/t w-o-w against INR 64,500-65,500/t (exy-Mumbai) seen last week. The prices mentioned above do not include GST @18%.

Housing sales decline 55% in Apr-Jun ’21

Property sales and new housing project launches took a severe hit, dipping by 55% as 60,000 units got sold in Apr-Jun ’21. Housing enquiries and site visits came to a sudden halt in the top eight metro cities between Apr-May ’21 with the resurgence of the second wave of Covid-19.

The recovery of the rental market was delayed as the opening of offices and educational institutions got further extended. The prices in the primary market remained undeterred as developers claimed limited profit margins amid rising input costs.

However, home sales rose 67% in H1 CY ’21 on the back of growth in markets like Pune and Mumbai in the same period, according to Kinght Frank.

The top eight cities saw total sales of 99,416 residential units in H1 ’21, while new launches in the same period (Jan-Jun ’21) were recorded at 103,238 units.

“Going by the tremendous success of the stamp duty cut in Maharashtra, other states may also consider similar demand stimuli at appropriate times that will not only help sales velocity but also propel economic activity,” said Shishir Baijal, Chairman and Managing Director, Knight Frank India.

Near-term outlook

We anticipate that prices of HRCs may not correct further as export offers are up by about $5-10/t and these might rise in the upcoming weeks. Also, the Chinese futures are on an uptrend, thereby leading to no correction in ERW coil-based pipe prices, according to data maintained with SteelMint.

 
Indian: Traders uncertain about correction in pipes prices for Jul '21

Indian: Traders uncertain about correction in pipes prices for Jul ’21

Traders are quite uncertain about the price changes that the pipes segment could see in the month of July. Some are of the view that the leading structural steel tubes producers could be looking to further correct their list prices by another INR 4,000/tonne (t) ($54/t) in the coming two weeks. This will boost sales in the domestic market, as per the latest information available to SteelMint.

“APL Apollo Tubes prices remain stable amid sluggish demand although trading activities have started to pick up in the domestic market,” said a Delhi-based APL Apollo Tubes distributor.

At present, Tata Tubes is reported to be booking coil-based pipes at INR 70,000/t ($937/t), ex-Jharkhand for Jul ’21 deliveries, compared to the last revised price in Jun ’21 of INR 72,000/t ($962/t). Prices do not include GST @ 18%.

SteelMint’s current trade offers as of week 28 of CY ’21 for base grade ERW pipes (25-125 NB, 2.2-6 mm thickness) are assessed at INR 70,000/t(exy-Delhi), INR 70,250/t(exy-Mumbai) and 68,000/t(exy-Raipur). Prices have remained unchanged since last week and do not include GST @ 18%.

HRC prices continues to remain under pressure

Mills are offering rebates to attract buyers by providing price support to traders. Meanwhile, limited export orders and subdued domestic demand are pushing mills to correct prices.

  • AMNSI has slashed prices by INR 2,000/t, offering HRCs at INR 68,400 to 68,500/t (exy-Mumbai).
  • SAIL is offering a rebate of INR 2,000/t for July deliveries.
  • TATA BSL is offering rebates of around INR 2,400/t for July.

This week, HRC trade prices edged down sharply by INR 1,500-2,000/t owing to the deferred procurements by traders in anticipation of further price corrections of HRCs.

SteelMint’s benchmark prices for 2.5 mm hot-rolled coils (HRCs) stand at INR 66,000-67,000/t (exy-Mumbai). The prices mentioned do not include GST @ 18%.

Housing sales surge 83% y-o-y in Q2

Residential sales in Q2 (April-June ’21) increased by 83% as compared to Q2 ’20, across the top seven cities. Improvement in sales was attributed to the low base effect, less stringent lockdowns, and accelerated vaccination drives during Q2, demonstrating improved resilience in the market following a good recovery curve.

However, the impact of the second wave of Covid-19 has been felt with sales in Q2 ’21 dipping by 23% to 19,635 units.

“If the downward trajectory in Covid-19 cases is sustained, the real estate sector is expected to make a healthy recovery in the second half of 2021,” said Samantak Das, Chief Economist and Head of Research and REIS, India, JLL.

Outlook

HRC prices to remain under pressure owing to dull demand during the monsoon season. A long pause in construction activities and weak demand are likely to impact ERW pipes prices in the near-term.

 

Nippon Steel raises Sept carbon steel pipe prices by $90

Nippon Steel, Japan’s largest integrated steel producer, has decided to add Yen 10,000/tonne ($90/t) to prices of all types of carbon steel pipes including welded and seamless pipes for spot domestic sales from September production, a company official confirmed on July 6, citing rising input costs and supply tightness.

“We have been lifting the prices of most of our products, and the availability of some items is very tight,” the official commented. “This needs to be reflected in our prices – for us to supply stably – and pipes are one of these products,” she told Mysteel Global.

This will be the company’s third increase for carbon pipes, the first being Yen 15,000/t from January sales and the second by 10% from May sales. Sources had estimated the second increase added around Yen 15,000/t to the price of common grade welded pipe but was much larger for seamless pipes. Bookings for Nippon Steel’s pipe production for September are mostly placed in July, they said.

Nippon Steel does not disclose final prices of its steel products, but as of July 7, dealers were selling STK400 structural pipes (48.6×2.3mm) in Tokyo at around Yen 139,000-140,000/t, up Yen 6,000/t on month or Yen 20,000/t higher from the end of January, sources confirmed.

A Tokyo-based distributor had expected Nippon Steel to lever up prices again because prices of hot rolled coils – the feed materials for welded pipe – are now much higher. “The company had added a total Yen 45,000/t to its HRC prices from January, so the additional rise means the hike for pipes has become just as large,” he explained.

He added that demand for carbon pipes has been firm from manufacturers and that inquiries from the construction sector are expected to start rising soon. “We will be able to select high-priced orders to fulfill, and market prices will continue rising,” he predicted.

Nippon Steel does not reveal its production volume for welded pipes, but the company estimated its production of seamless pipes during April-September will reach 300,000 tonnes. The company’s output of seamless pipe, a core product for the integrated mill, has been below 1 million tonnes since its April 2019-March 2020 business year.

“Our sales of OCTG have been stagnated because of the slowdown in oil-related new projects from the slide in crude oil prices,” the official explained. “So most demand for seamless pipes for now is not for oil exploration but for other purposes such as automobile manufacturing,” she added.

The latest data from the Japan Iron & Steel Federation showed that Japan produced 103,700 tonnes of seamless pipes in January-May, down 7.3% on year, while output of welded pipes at 1.56 million tonnes was up 2.4% on year.

Written by Yoko Manabe, yoko.manabe@mysteel.com

This article has been published under an article exchange agreement between Mysteel Global and SteelMint.

 

Indian pipe manufacturers hold API import orders amid market uncertainty

Indian steel pipe manufacturers are holding their import orders for API grade HRCs since they feel the present prices are too high. They expect these import prices to cool down in the near future and only then will they firm up their import plans, SteelMint understands.

Consequently, these pipe makers held discussions with the government seeking extension of the deadline for projects where these pipes find application by 2-3 months. These producers are slowly recovering from the devastating effect of the second wave of the pandemic. Plants were running at low capacity utilisation during Apr-Jun ’21 and are thus behind delivery schedules and hence the plea for deadline extensions.

Import prices

Where imports are concerned, China and Korea are the major suppliers of API grade HRCs. Parcels of 20,000-30,000 tonnes (t) are generally sourced on a monthly basis by these pipe manufacturers. Currently, the offers from Korea for X70 grade API HRC(7.14mm to 12mm) stand at $1,100/t CFR.

There are no offers from China at the moment and there is added uncertainty in terms of the export duty. These factors have led Indian pipe manufacturers to put the imports on hold.

Owing to the uncertainty in the market, steel pipe makers are now ordering API HRCs short-term for 2-3 months instead of opting for the previous long-term buying contracts.

Indian pipe mills enjoy 40-50% share of the imports pie of API grade HRCs because domestic production is not able to fulfil their requirements.

API grade pipes market

The size of the API HRC market in India is 1.2-1.4 million tonnes (mn t) per annum, including both domestic and overseas orders.

These pipes find usages across following areas:

  • Cross-country pipelines: These are large diameter pipes (X65, X70).
  • City gas distribution: These are X42 and X52 grades (up to 12-inch diameter) made through the ERW route.
  • Export orders: These include supplies to Latin America and the Middle East.

Key players bag orders

The leading Indian steel pipe manufacturer, Ratnamani Metals and Tubes, had bagged a domestic order worth INR 594 crore for supply of coated carbon steel pipes to Numaligarh Refinery as part of the Paradip Numaligarh Crude Oil Pipeline Project, which is to be executed within 15 months. This project is under execution and is expected to be completed by May-Jun ’22.

The largest domestic CCP order in the second half of FY ’21 was for the Numaligarh Refinery Paradip (NRL) project, amounting to around 200,000 t of X70 grade (9.2-15.9 mm) material. About 75% of the order, comprising X70 API (9.2mm) is to be sourced from the domestic market and the remaining 25% from overseas. The domestic players include Ratnamani (55,000 t), Jindal SAW (26,000 t), Welspun Corp (18,500 t), Surya Roshni (26,000 t), MAN Industries (55,000 t) and AM/NS India (20,000 t).

Outlook

Going forward, the Indian pipe producers are anticipating softening in the import prices of API grade HRCs in the upcoming weeks.

 
India: APL Apollo, Tata Tubes may further correct pipes prices in early-Jul

India: APL Apollo, Tata Tubes may further correct pipes prices in early-Jul

Two of the country’s largest structural steel tubes producers, APL Apollo Tubes Ltd and Tata Tubes could be looking at further price corrections in the current week; APL Apollo has rolled over its list prices for early-Jul ’21 sales on the back of sluggish demand, SteelMint noted.

Traders are confident that a further correction is likely to be announced soon in order to boost sales in the domestic market.

APL Apollo Tubes distributors are expecting a potential further reduction of INR 2,000/tonne (t) ($27/t) in the list pipe prices in the first week of Jul ’21.

“ERW pipe prices are stable as trading in the domestic market is limited. Traders have become more cautious amidst subdued demand, leading to softening of buying interest,”said a Raipur-based APL Apollo Tubes distributor.

Tata Tubes traders expect pipe prices to edge down further by INR 2,000-2,500/t ($27-33/t) in the first week of Jul ’21, as per the latest information shared with SteelMint.

At present, Tata Tubes is reported to be booking coil-based pipes at INR 72,000/t ($962/t), ex-Jharkhand for Jul ’21 deliveries, compared to the last revised price in May ’21 at INR 74,000/t ($989/t). Prices do not include GST @ 18%.

SteelMint’s current trade offers as of week 27 of CY ’21 for base grade ERW pipes (25-125 NB, 2.2-6 mm thickness) are assessed at INR 70,000/t (exy-Delhi), INR 70,250/t (exy-Mumbai) and INR 68,000/t (exy-Raipur). Prices have remained unchanged since last week and do not include GST @ 18%.

Domestic HRC trade prices under pressure

Owing to sluggish demand in the market, Indian HRC trade prices declined sharply by INR 1,500-2,000/t this week. However, Mumbai prices remained largely moderate.

SteelMint’s benchmark prices for 2.5mm hot-rolled coils (HRCs) stand at INR 66,000-67,000/t (exy-Mumbai) this week. Prices mentioned above do not include GST @18%.

A correction is expected in domestic HRC prices in the near term due to the arrival of the monsoon, sluggish demand among buyers and limited alternatives for exports.

Real estate sector sees gradual recovery

India’s largest real estate market, Mumbai, in Jun ’21; witnessed registrations of as many as 7,857 housing units, marking a growth of 47% m-o-m against 5,360 units in May ’21 despite the second wave of the Covid-19 pandemic.The pick-up post the easing of restrictions was sharper last month as compared to last year.

Buying sentiments have improved because of low home loan rates, discounts offered by developers, extended time spent indoors and demand for larger homes.

“We are hopeful that this recovery will sustain, and the momentum will improve further keeping pace with the vaccination drive and economic revival,” said Shishir Baijal, Managing Director, Knight Frank India.

Near-term outlook

ERW coil-based pipes prices are likely to correct in the near future as steel mills are contemplating rebates on HRCs, in order to boost sales in the domestic market. Also, demand from the real estate sector across India is likely to remain subdued on the back of the monsoon which has set in.

 
India: Welspun to acquire steel biz of Welspun Steel, foray into long products

India: Welspun to acquire steel biz of Welspun Steel, foray into long products

Welspun Corp (WCL), flagship of the Welspun Group, has proposed to acquire the steel business of the demerged company Welspun Steel Limited (WSL). At a meeting held on 28 Jun ’21, the board of directors decided to propose the scheme of arrangement between Welspun Steel and Welspun Corp to NCLT for transfer of WSL’s steel division to WCL, subject to regulatory approvals.

WCL is also foraying into the manufacture of steel long products. Working towards this end, the company is setting up a greenfield TMT bar manufacturing facility, with a capacity of 350,000 tonnes (t) per annum through the proposed demerger of WSL from WCL, the company said while announcing its consolidated financial results for the quarter and full year ended 31 March ’21. The expected investment is INR 175 crore (plus soft cost) and the project is expected to be completed by Sept ’22.

The company is enhancing the capacity of its pig iron and ductile iron pipes from 250,000 t to 400,000 t, in what is to become one of the largest standalone single-location DI manufacturing facilities in India. The company forayed into the pig iron and DI pipes business by setting up a greenfield facility in Anjar. The expansion is to be funded through a combination of internal accruals and debt. The project is to be commissioned by Mar ’22. The project cost has also enhanced from the earlier INR 1,250 crore to INR 1,550 crore (plus soft cost), it is learnt.

The long products and pig iron and DI pipes businesses would be synergistic in terms of raw material sourcing, common infrastructure, technical manpower, management bandwidth, etc.

Net profit high, revenues low: The profit after tax (PAT) in Q4FY ’21 was higher by 15.3% q-o-q at INR 225 crore compared to INR 195 crore in Q3 on lower input costs and deferred tax credits.

Consolidated revenues were down 34.06% in Q4 at INR 1,819.31 crore. The company managed to cut operating and material costs sharply to maintain its operating margins. The big boost came from INR 121 crore of deferred tax credits in the quarter which resulted in the profit growth. On a sequential basis, net sales revenues were up 30.56% compared to total revenues in Q3 at INR 1,393.48 crore.

Pipe sales: In total operations, the company achieved more than 1,000 KTM of pipe sales during the pandemic. Sales volumes in Q4 were at INR 247 crore against INR 285 crore in Q3, down 13.5% q-o-q.

Order book status: The company’s current global order book is at 528 KMT, valued at INR 4,800 crore ($663 million).

Focus on water segment: The company witnessed a recovery in the water segment post the first wave of the pandemic. However, the second wave and all-time high commodity prices have slowed down activity in the water pipeline sector. Welspun is confident of seeing a bounce-back in demand for line pipes and ductile iron pipes in H2 FY ’22.

Continued focus on exports: WCL continues to stay focused in the exports market. The recent award of the Barossa order from the Australian market and a few other international projects clearly reflects revival in pipeline demand in the exports market. The company is in discussion with several customers across geographies and is optimistic of bagging new orders in the near future.

Outlook

The company feels strong demand and higher oil prices would likely spur demand for pipelines globally. Gas dominates the global mix, accounting for 82.7% of pipelines in pre-construction and construction stages.

With the emphasis on infrastructure, the new TMT facility may significantly contribute to growth.

 
Indian ERW HRC pipe demand weak in a falling market

Indian ERW HRC pipe demand weak in a falling market

Prices for electric-resistance-welded (ERW) HRC pipes weakened this week as buyers avoided stocking up with mill pipe prices declining.

Pipe prices are on a downward trend, according to ERW tube traders, who believe a correction is coming soon.

India’s largest ERW pipe manufacturer, APL Apollo, had announced a correction in its prices by INR 2,000/tonne (t) ($27), on 19 June ’21 on account of dwindling sales.

However, the market players subsequently became quiet and are looking for a potential price change in the near future. They have opted to wait, expecting offers to come down in the coming days.

Traders expect pipe prices to go down further by another INR 2,000/t in first week of Jul ’21.

SteelMint’s current trade offers as of week 26 of CY ’21 for base grade ERW pipes (25-125 NB, 2.2-6 mm thickness) are assessed at INR 70,000/tonne(exy-Delhi), INR 70,250/t(exy-Mumbai) and INR 68,000/t(exy-Raipur). Prices have remained unchanged since last week and do not include GST @ 18%.

“ERW pipe prices remained silent on dull demand. The drop in prices is likely to happen as consumption in the domestic market has been impacted”; said a Mumbai-based Tata Tubes distributor.

At present, Tata Tubes is reported to be booking coil-based pipes at INR 74,000/t ($998), ex-Jharkhand for Jun’21 deliveries, compared to the last revised price in May ’21 at INR 69,500/t ($952). Prices do not include GST @ 18%.

HRC prices fall further on muted demand

Indian HRC trade prices declined further by INR 1,000/t this week due to limited buying activities and slow demand in the domestic trade market.

This week, SteelMint’s benchmark prices for 2.5mm hot-rolled coils (HRCs) dropped further to INR 66,000-67,000/t(exy-Mumbai) against last week. On the other hand, major steelmakers are offering HRCs at INR 70,000-70,500/t(exy-Mumbai).The prices mentioned do not include GST @18%.

It is anticipated that domestic HRC prices may correct in the near term owing to the arrival of the monsoon season and subdued demand among buyers. Also, mills are likely to provide rebates in order to escalate buying and improve market sentiment.

Real estate sector on recovery path

The second Covid-19 wave impacted the residential property market in the April-June (2021) period. Sales in Mumbai for April-June ’21 stood at 7,400 units, which is the highest and around 30% of the total market. With new launches and sales, the housing sector displayed remarkable resilience despite localised lockdowns.

Sales in the April-June period were also dampened by the lack of site visits. But the developers are optimistic that sales will improve in the coming months.

Outlook

Monsoon is generally regarded as a lean period for the realty sector. Developers usually find it difficult to push sales and many individual buyers postpone purchases during these months.

There is a lesser number of site visits by prospective buyers and demand for property buying also goes down. This, in turn, is likely to cause a correction in the ERW pipes and tubes prices in the near future.