INDIAN STEEL PRICE ROUNDUP FROM MEPS
settlement values, for hot rolled coil, were unchanged in India according to
MEPS (International) Ltd. Stockists report that the domestic market is
oversupplied. Imports have only exacerbated the situation. Offers from Asian
suppliers of commercial grade coil for September shipment stood at US$520/530
per tonne CFR (excluding 7.5 percent import duty and port handling expenses).
In the commodity plate market, buying sentiment has failed to improve.
Distributors have reported low trading volumes in the states of Haryana and
Maharashtra. Quotations from Asian hot rolled plate suppliers for September
shipment stood at US$530/545 per tonne CFR (excluding import duty).
Cold rolled coil purchasing activity remains subdued. Quotations from Asian
steel suppliers, for September delivery, stood at US$605/615 per tonne CFR
(excluding 7.5 percent import duty and port handling expenses) – up 0.8 percent,
month-on-month. Effective transaction values, for galvanised coil, were stable
over the period under review.
Monsoon rains have continued to constrain construction activity in the central,
northern and southern states. Rashtriya Ispat Nigam Ltd (RINL) elected to
maintain its August basis selling figure, for wire rod, at Rs42,230 per tonne
(excluding all taxes). Business activity has been slow in the Indian sections
Reinforcing bar transaction values edged higher after the country’s Independence
Day. Secondary producers based in Central and Western states are operating at
less than 50 percent production capacity.
Merchant bar stockists report that there is little appetite for purchasing at
present amongst local construction firms. Secondary mill quotations continued to
shadow the cost of steelmaking raw materials – particularly, pencil ingots,
sponge iron and ferrous scrap.
Source: MEPS -
Steel Review - August issue
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