Rally in Indian Rupee and declining international prices caused a complete reversal of fortunes for Indian mills. Nearly 6% appreciation in INR over the last 3 weeks has dealt blow to the export competitiveness of Indian mills.

In radical shift from December wherein Indian mills had been basking with insulation of severely browbeaten INR. Immense security had prompted them to hike prices in the domestic market over the last couple months by almost INR 1500 per tonne in HRC prices despite slow abject demand.

Return of confidence in Indian Rupee pulled the rug from the Indian flat product manufacturers. The import parity heavily at odds with the domestic levels February might be the penultimate month of frolic.

In per tonne

1 USD = INR 49.20

(Source: www.steelprices-india.com)

Domestic HRC retail levels at INR 37900 per tonne (excl ED and VAT) at Mumbai there is yawning gap of INR 4200 per tonne. Reportedly import bookings have commenced and with the first consignment likely to arrive by early April the era of price hike will be history soon.

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(Sourced from www.steelprices-india.com)