Major Indian steel manufacturers have increased domestic flat steel prices by INR 1000-1500/MT for the month September amid higher raw material cost combined, costlier imports along with improved bookings in domestic market.
SteelMint learned from market participants that steel mills like JSW Steel, SAIL and Essar Steel have announced price hike. And other mills are likely to follow the suit.
Odisha based major merchant miners have raised iron ore prices by INR 600-700/MT last month and NMDC increased Baila lump and fines prices by INR 150/MT in Chhattisgarh and Karnataka.
Meanwhile manufacturers and traders are anticipating optimistic demand in domestic market this month amid festive season.
Also devaluation of rupee against USD resulted in costlier imports as compared to domestic prices. A couple of weeks back Indian importer booked around 20,000 MT HRC from Japan in the range of USD 640-645/MT CFR basis.Thus these factors collectively propels Indian manufacturers to raise prices.
After price hike trade reference prices for HRC (IS2062) 2.5 mm-8 mm is around INR 46,000/MT (ex-Mumbai) and that for CRC (IS513) 0.9mm is hovering in the range of INR 50,500-51,000/MT (ex-Mumbai).The prices mentioned above are basic prices excluding GST @ 18% on cash payment basis.
Market sources shared that, Essar Steel has increased HRC prices by INR 1000/MT.Thus HRC ( 2.5-8mm) is hovering in range of INR 46,000-46,250/MT (ex-Mumbai).And CRC (0.9mm) up by INR 1000/MT is assessed around INR 51,500/MT (Ex -Mumbai).The prices mentioned above are basic prices excluding GST @ 18% on cash payment basis.
Also JSW steel have raised HRC prices by INR 1250/MT and CRC by INR 1400/MT.Thus HRC (2.5-8 mm) is heard around INR 46,090/MT (Ex-Mumbai) and CRC ( 0.9 mm ) at INR 52,200/MT (ex-Mumbai).The prices mentioned above are basic prices excluding GST @ 18% on cash payment basis.
Meanwhile govt owned company SAIL (Steel Authority of India Ltd) have also hiked HRC prices by INR 1300/MT and is offering HRC (2.5 -8 mm) at INR 45,800-46,000/MT (ex-Mumbai) and CRC (0.9 mm) moved up by INR 1500/MT to INR 50,500/MT (ex-Mumbai).The prices mentioned above are basic prices excluding GST @ 18% on cash payment basis.
Last month, JSW & Essar Steel decline HRC CRC prices by INR 500-750/MT and Indian govt owned SAIL had roll over flat steel prices for the month of August amid slow demand and prevailing monsoons and was heard offering discounts.