Tag Archives: Indian Steel prices

STEEL PRICES RISE IN EMERGING MARKETS BUT BUYERS REMAIN CAUTIOUS

According to MEPS International Ltd, the Brazilian steel industry has struggled to adapt to the unpredictable business environment. Bearish distributors plan to persevere with conservative purchasing strategies, in November, citing price volatility and weak economic fundamentals.

Russian steel producers are divided over the prospects for domestic steel consumption in the final trimester of 2016. Predictably, distributors and end-users are reluctant to commit to forward orders. Long products’ steelmakers have downgraded their November basis quotations, as a result.

Indian brokers are optimistic that sales volumes will improve after the festival season (October to November). These firms are booking for immediate requirements only, due to continuing price fluctuations. General sentiment regarding the new minimum import price mandate and provisional safeguard duties are unchanged. The measures have been held responsible for the latest price initiative undertaken by primary steelmakers.

Business confidence remains unsettled in Turkey. Local service centres are extremely reluctant to purchase material in, what they deem as, precarious trading conditions.

Price volatility continues to hamper sales volumes in the United Arab Emirates. Additionally, state-funded construction and infrastructure activity remains sparse. Despite this, Emirati rolling mills opted to, marginally, increase their selling figures for November production, amidst the higher cost of key steelmaking raw materials and reduced price competition from foreign suppliers.

Mexican service centres have, once again, started to query whether the latest domestic price levels are supported by market and economic fundamentals. Several buyers are forecasting additional price concessions from domestic suppliers next month.

Source: MEPS – Developing Markets Steel Review – October Edition

INDIA STEEL MARKET ROUNDUP FROM MEPS INTERNATIONAL LTD

Indian hot rolled coil selling figures were steady in May, month-on-month, according to MEPS. However, end-users were still only purchasing for immediate requirements.

Indian customers have preferred to delay bookings, for commodity plate, in anticipation of further price concessions from both domestic and foreign suppliers. Meanwhile, coated coil transaction values held firm despite subdued market confidence.

Negative price expectations have gain momentum in the wire rod market. Distributors operating in Durgapur, Mumbai and Raipur claim that the downward pressure is the result of the availability of foreign products.

Purchasing activity for rebar has begun to soften. End-users are hesitating about placing orders, whereas the steelmakers are keen to close deals.

Merchant bar stockists continue to be hesitant about placing orders. This is due to tight credit conditions, low end-user demand and expectations of further price cuts.

Source: MEPS – Developing Markets Steel Review – May Edition
Also See: MEPS Indian Steel Prices Online

INDIAN STEEL PRICE ROUNDUP FROM MEPS INTERNATIONAL LTD

Negotiated price 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 market.

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 Developing Markets Steel Review

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