JSW Steel – a major Indian steel manufacturer has raised finished steel prices for Feb’20 by INR 1,500- 2,000/MT (USD 21- 28) against beginning of Jan’20. Prices have moved up owing to better demand, SteelMint learned from market sources.
Thus, after increase company’s HRC (IS2062 2.5-8mm) prices is hovering around INR 39,000/MT (ex-Mumbai) , CRC (0.9mm, IS513 gr) is at INR 44,500/MT (ex-Mumbai). Prices mentioned above are basic, and extra GST @ 18% is applicable.
Coming to long steel, after hike company’s rebar prices stands at around INR 39,500/MT and that of wire rod around INR 39,300-39,400/MT ex-Mumbai, GST extra.
It is expected that other Indian mills will also hike prices early next week.
Before this, major steel producers had raised steel prices by INR 1,700- 1,800/MT at the beginning of Jan ’20. After this, the mills again raised HRC prices by INR 750-1000/MT in the second week of Jan’20 owing to the increased cost of production and restocking demand in the domestic market.
The absence of active imports to India from FTA nations and improved trade inquiries in the domestic market propelled Indian steel mills to raise prices in the domestic market.
The recent announcement of govt policies on project allocations in budget FY’20 shall further support prices in the domestic market.
Also Japanese mills are heard to have raised HRC export offers by USD 30/MT, resulting in hike in landed cost of imports to India.
SteelMint’s trade reference price for HRC stands at INR 39,250-39,500/MT (ex-Mumbai), INR 39,000-39,500/MT (ex-Delhi), and INR 39,500-40,500/MT (ex-Chennai). Trade reference CRC (0.9mm, IS 513) prices on a weekly premise assessed at INR 45,000-45,500/MT (ex-Mumbai), INR 42,700-44,500/MT (ex-Delhi), and INR 45,500-46,000/MT (ex-Chennai). Prices mentioned above are basic, and extra GST@ 18% will be applicable.