The sorrowful saga of steel prices in India seems endless. Decline, which commenced in early April, has not shown any signs of let up with insignificant aberrations in between. Overall the trend was downward through the entire April and May, however since June the meltdown has culminated in subdued stability.
In case of long products, the depression has become widespread with ever dwindling demand from hitherto secure project sector. It has cast spell of inactivity leading to surmounting inventory. Moreover monsoon (June-September) being a low season for construction reprieve can be expected in second half of September.
It is reported that there is nearly 1.4 million tonnes of TMT bar inventory in the country. Steel majors are vying to enhance rebates in a bid to liquidate inventory. It is reported that steel major has extended unconditional rebate to the tune of INR 1500 per tonne from July 1st 2010. Another major is already mulling an equally attractive rebate likely to be announced on Monday (12th July). A third manufacturer has continued with a largesse of INR 2250 per tonne rebate minimum 200 tonne off take since June into July left with no option.
The ingot price at above levels the floor is hit and any further reduction is ruled out. However a rally is also remote till the monsoon wanes by the end September.
The flat product prices has remained sullen for the past 2 ½ months on trot. Given the pessimism in the market it was widely expected that July would witness another round of price cut.
The primary reason being surmounting inventory touching almost 1.1 million tonne in July .The bulk of this inventory was imported by traders of HRC from China and Ukraine which remains un liquidated owing to sluggish demand. As per market sources, further 500,000 tonnes of Chinese HRC could leave for India before 15th July.
Indian mills are expectant that by mid August, these inventories would have dwindled and raise market sentiments. Moreover most of the Indian mills rampantly doling out rebate and discounts the call was worth taking to risk a roll over.
Traders and distributors where widely expecting a price reduction in to the tune of INR 2000 per tonne t INR 2500 per tonne to align market with the import levels where left lacerating. All doesn’t seems to over as yet as traders are hopeful of backdoor price cuts in the form of rebates and discounts trickling in .
The Indian Long Product Price Index ILPPI went down by 48 points last week whereas Indian Flat Products Index IFPPI dropped by 41 points. The overall price index INDSPI declined by 45 points.
| Class | 02-Jul | 09-Jul | Change | % |
| ILPPI | 6818 | 6770 | -48 | -0.7% |
| IFPPI | 7791 | 7750 | -41 | -0.5% |
| INDSPI | 7282 | 7237 | -45 | -0.6% |
ILPPI - Indian Long Product Price Index
IFPPI - Indian Flat Product Price Index
INDSPI - Indian Steel Price Index
Long Products
| Category | 02-Jul | 09-Jul | Change | % |
| PI - TMT | 6676 | 6622 | -54 | -0.8% |
| PI - WRC | 7195 | 7150 | -45 | -0.6% |
| PI - Angle | 6489 | 6441 | -48 | -0.7% |
| PI - Channel | 6557 | 6511 | -46 | -0.7% |
| PI - Joist | 6079 | 6038 | -41 | -0.7% |
PI - Product Index
Flat products
| Category | 02-Jul | 09-Jul | Change | % |
| PI - Narrow Plates | 7319 | 7261 | -58 | -0.8% |
| PI - Wide Plates | 7759 | 7730 | -28 | -0.4% |
| PI - Hot Rolled | 7548 | 7511 | -38 | -0.5% |
| PI - Cold Rolled | 8587 | 8529 | -59 | -0.7% |
| PI - Galvanized | 8239 | 8221 | -18 | -0.2% |
PI - Product Index
These indices have base of 10,000 as on July 1st 2008
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1. Input material
Melting scrap
80:20
HMS
| Location | Change |
| Chennai | 0% |
| Hyderabad | 0% |
| Kandla | -2% |
| Kanpur | -2% |
| Kolkata | -2% |
| Mandi | 0% |
| Mumbai | 2% |
| Rudrapur | -2% |
Change is on July 9th 2010 as compared to July 2nd 2010
Alang
| Product | Size | Change |
| Plate cuttings | 1" | -2% |
| Ships | Mixed | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
Pencil ingot
| Location | Change |
| Ahmedabad | 0% |
| Bhiwari | 0% |
| Durgapur | -1% |
| Ghaziabad | -1% |
| Hyderabad | 0% |
| Jaipur | 0% |
| Jamshedpur | 0% |
| Kanpur | -1% |
| Kolkata | -2% |
| Mandi | -1% |
| Mumbai | 0% |
| Muzzafarnagar | -1% |
| Nagpur | -1% |
| Raigarh | -1% |
| Raipur | -1% |
| Rourkela | -1% |
| Rudrapur | -2% |
Change is on July 9th 2010 as compared to July 2nd 2010
Pig Iron
| Location | Change |
| Agra | 0% |
| Jallandhar | 0% |
| Kolkata | 0% |
| Raipur | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
Sponge iron
| Location | Change |
| Bellary | -3% |
| Kolkata | -1% |
| Raigarh | -1% |
| Raipur | -1% |
| Rourkela | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
2. Long products
Rebar (TMT QST)
Fe 415
12mm
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -5% |
| Chennai | 0% |
| Delhi | -1% |
| Indore | -1% |
| Kanpur | -2% |
| Kolkata | 0% |
| Mandi | 1% |
| Mumbai | 0% |
| Muzzafarnagar | -1% |
| Raipur | -3% |
| Rudrapur | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
WRC
SWR14
5.5/6
| Location | Change |
| Chennai | 0% |
| Delhi | 0% |
| Kanpur | -1% |
| Kolkata | 0% |
| Raipur | -2% |
| Rudrapur | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
ANGL
Grade A
65X65X6
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -3% |
| Chennai | 0% |
| Delhi | 0% |
| Indore | 0% |
| Kanpur | -1% |
| Kolkata | 0% |
| Mandi | 0% |
| Mumbai | 0% |
| Raipur | -2% |
| Rudrapur | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
CHNL
Grade A
75/40
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -3% |
| Chennai | 0% |
| Delhi | 0% |
| Indore | -1% |
| Kanpur | -1% |
| Kolkata | 0% |
| Mandi | 0% |
| Mumbai | 0% |
| Raipur | -2% |
| Rudrapur | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
JSTI
Grade A
250X125
| Location | Change |
| Ahmedabad | -1% |
| Bangalore | -2% |
| Chennai | 0% |
| Delhi | 0% |
| Indore | -1% |
| Kanpur | -1% |
| Kolkata | 0% |
| Mandi | 0% |
| Mumbai | 0% |
| Raipur | -2% |
| Rudrapur | -1% |
Change is on July 9th 2010 as compared to July 2nd 2010
3. Flat products
HRC
Tube
2.5x1250
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -1% |
| Chennai | 0% |
| Delhi | 0% |
| Indore | -3% |
| Kolkata | -1% |
| Ludhiana | 0% |
| Mumbai | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
Patra
| Location | Change |
| Delhi | 0% |
| Ludhiana | 2% |
| Mandi | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
Plates
Grade A
8X1250/1500
| Location | Change |
| Chennai | 0% |
| Delhi | 0% |
| Kanpur | -1% |
| Kolkata | -1% |
| Mumbai | 0% |
| Rudrapur | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
Plates
GRADE B
12-20X2500
| Location | Change |
| Ahmedabad | -1% |
| Bangalore | 0% |
| Chennai | 0% |
| Delhi | 0% |
| Indore | 0% |
| Kanpur | -1% |
| Kolkata | -1% |
| Mumbai | 0% |
| Raipur | 0% |
| Rudrapur | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
CR
DSK
0.63x1000
| Location | Change |
| Ahmedabad | -1% |
| Chennai | 0% |
| Delhi | -1% |
| Kanpur | -1% |
| Kolkata | 0% |
| Mumbai | 0% |
| Pune | 0% |
| Rudrapur | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
GP
100Gms
0.4
| Location | Change |
| Mumbai | 1% |
| Chennai | 0% |
| Kolkata | -1% |
| Delhi | -1% |
| Ludhiana | -2% |
| Kanpur | 0% |
| Rudrapur | 0% |
| Bangalore | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
GC
100Gms
0.4
| Location | Change |
| Bangalore | 0% |
| Chennai | 0% |
| Delhi | -1% |
| Kanpur | 0% |
| Kolkata | -1% |
| Mumbai | 0% |
| Ludhiana | -2% |
| Rudrapur | 0% |
Change is on July 9th 2010 as compared to July 2nd 2010
www.steelprices-india.com is a comprehensive portal that provides domestic pricing information for benchmark steel products in each category at select location in India on a regular basis 5 days a week and international price levels on a weekly basis.
As steel in each category comes in hundreds of grades shapes and sizes, we have taken benchmark products in each category at select locations to cover the entire basket of garden variety of steel products including input material for steel making and processing.
Products covered
1. Input materials - Iron ore, scrap, sponge iron, pig iron pencil ingot, billets and blooms
2. Long products - Rebar, wire rod, angle, channel and joists
3. Flat products - Narrow plates, wide plates, HR, CR and galvanized
4. Others - Pipes
5. FOB Levels - China, Ukraine, Russia and Turkey
Methodology and access
1. Benchmark products in each category with fixed commonly used sizes and grades
2. Base prices or effective, as per market trends
3. Average transaction levels which have settled well, based on continuous interactions with domestic mills, overseas suppliers, importers stockiest & service centers and buyers
4. On fixed market oriented payment terms
5. Daily updates
6. Data available since July 2008
5. Access through web site
Price basis
Without ED and VAT for all products except for rebar and sections
Other features
The prices are displayed on weekly and monthly basis. They also have search facilities to access old data from the archives. Graphical representation of trends and comparison of price movement 2 or more products is also available.
In addition, you can monitor currency exchange rates, metal prices, BDI for the day as well as access their archives for past data.
Other features include converters for weight, length etc, glossary and advanced search functions. The benchmark product price information is supplemented by global pricing news.
Subscription charges for 12 months access
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| USD | 1,650 | 3,300 | 5,500 | 11,000 | 16,500 | 22,000 |
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