The Indian domestic steel market continued to exhibit firm trends for both long as well as flat products last week.
Although the long product market showed some ups and downs in the week, flat product prices remained on clear cut upward trend giving enough room to Indian steel majors to go for further hikes during this week or on February 1st 2011.
For long products, uncertainties lie ahead as the prices of rebar and sections have skyrocketed on sentiments and as such the hanging overcapacity could become nemesis when the slowed down production picks pace on improving margins. But some marker players are optimistic that the demand for bigger projects propelled by financial year closing would keep the market buoyant.
On the other hand, enough room exists for major price hike for flat products. Even if we take USD 770 per tonne CFR India as prevailing level, the import parity is on the negative side by more than INR 2500 per tonne. By taking into account the hassle factor, there is room for INR 3000 per tonne to INR 4000 per tonne increase.
But it is “heard” that some of the steel majors are weary of Indian government’s reaction on the likely outcry by users as inflation is currently main issue in the political circles. “Aren’t we seeing repeat of April to June 2008?” Thus, instead of taking one big hike, Indian steel makers may resort to step wise increases probably starting with INR 2000 per tonne to INR 2500 per tonne.
Another factor for smaller hike could be Chinese import threat as Chinese steel mills would become quite aggressive at such levels. Indian steel mills would probably like to avoid the situation faced in May to June 2010 when Chinese steel mills dumped more than 2 million tonnes of HRC into India keeping Indian domestic market for HRC depressed for many months.
The Indian Long Product Price Index ILPPI is went up by 64 points last week whereas Indian Flat Products Index IFPPI also up by 267 points. The overall price index INDSPI inclined by 161 points.
| Class | 14-Jan | 21-Jan | Change | % |
| ILPPI | 7990 | 8054 | 64 | 0.8% |
| IFPPI | 8238 | 8505 | 267 | 3.2% |
| INDSPI | 8108 | 8269 | 161 | 2.0% |
ILPPI - Indian Long Product Price Index
IFPPI - Indian Flat Product Price Index
INDSPI - Indian Steel Price Index
Long Products
| Category | 14-Jan | 21-Jan | Change | % |
| PI - TMT | 8024 | 8060 | 36 | 0.4% |
| PI - WRC | 8146 | 8242 | 96 | 1.2% |
| PI - Angle | 7742 | 7792 | 50 | 0.6% |
| PI - Channel | 7810 | 7863 | 53 | 0.7% |
| PI - Joist | 7338 | 7405 | 67 | 0.9% |
PI - Product Index
Flat products
| Category | 14-Jan | 21-Jan | Change | % |
| PI - Narrow Plates | 7778 | 8005 | 227 | 2.9% |
| PI - Wide Plates | 8025 | 8228 | 203 | 2.5% |
| PI - Hot Rolled | 7963 | 8277 | 314 | 3.9% |
| PI - Cold Rolled | 9197 | 9380 | 182 | 2.0% |
| PI - Galvanized | 8764 | 9044 | 280 | 3.2% |
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 | 2% |
| Hyderabad | 2% |
| Kandla | 0% |
| Kanpur | 1% |
| Kolkata | 0% |
| Mandi | 1% |
| Mumbai | 3% |
| Rudrapur | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
Alang
| Product | Size | Change |
| Plate cuttings | 1" | -1% |
| Ships | Mixed | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
Pencil ingot
| Location | Change |
| Ahmedabad | 0% |
| Alang | 1% |
| Bhiwari | 1% |
| Chennai | 3% |
| Durgapur | 1% |
| Ghaziabad | 1% |
| Hyderabad | 7% |
| Jaipur | 0% |
| Jamshedpur | 0% |
| Kanpur | 1% |
| Kolkata | 1% |
| Mandi | 2% |
| Mumbai | 3% |
| Muzzafarnagar | 2% |
| Nagpur | 2% |
| Raigarh | 3% |
| Raipur | 4% |
| Rourkela | 1% |
| Rudrapur | 1% |
Change is on Jan 21st as compared to 14th Jan 2011
Pig Iron
| Location | Change |
| Agra | 0% |
| Jallandhar | 1% |
| Kolkata | 0% |
| Raipur | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
Sponge iron
| Location | Change |
| Bellary | 1% |
| Kolkata | 0% |
| Raigarh | 3% |
| Raipur | 3% |
| Rourkela | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
2. Long products
Rebar (TMT QST)
Fe 415
12mm
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -1% |
| Chennai | 2% |
| Delhi | -3% |
| Indore | 0% |
| Kanpur | 2% |
| Kolkata | 0% |
| Mandi | 1% |
| Mumbai | 3% |
| Muzzafarnagar | 2% |
| Raipur | 0% |
| Rudrapur | 2% |
Change is on Jan 21st as compared to 14th Jan 2011
WRC
SWR14
5.5/6
| Location | Change |
| Chennai | 3% |
| Delhi | 3% |
| Kanpur | 0% |
| Kolkata | 0% |
| Raipur | 0% |
| Rudrapur | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
ANGL
Grade A
65X65X6
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -1% |
| Chennai | 1% |
| Delhi | 0% |
| Indore | 1% |
| Kanpur | 1% |
| Kolkata | 1% |
| Mandi | 1% |
| Mumbai | 3% |
| Raipur | 0% |
| Rudrapur | 1% |
Change is on Jan 21st as compared to 14th Jan 2011
CHNL
Grade A
75/40
| Location | Change |
| Ahmedabad | 0% |
| Bangalore | -1% |
| Chennai | 2% |
| Delhi | 0% |
| Indore | 1% |
| Kanpur | 0% |
| Kolkata | 1% |
| Mandi | 1% |
| Mumbai | 3% |
| Raipur | 0% |
| Rudrapur | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
JSTI
Grade A
250X125
| Location | Change |
| Ahmedabad | 2% |
| Bangalore | 0% |
| Chennai | 2% |
| Delhi | 0% |
| Indore | 1% |
| Kanpur | 1% |
| Kolkata | 0% |
| Mandi | 1% |
| Mumbai | 3% |
| Raipur | 0% |
| Rudrapur | 0% |
Change is on Jan 21st as compared to 14th Jan 2011
3. Flat products
HRC
Tube
2.5x1250
| Location | Change |
| Ahmedabad | 5% |
| Bangalore | 4% |
| Chennai | 10% |
| Delhi | 2% |
| Indore | 2% |
| Kolkata | 5% |
| Ludhiana | 2% |
| Mumbai | 4% |
Change is on Jan 21st as compared to 14th Jan 2011
Patra
| Location | Change |
| Delhi | 0% |
| Ludhiana | 1% |
| Mandi | 1% |
Change is on Jan 21st as compared to 14th Jan 2011
Plates
Grade A
8X1250/1500
| Location | Change |
| Chennai | 1% |
| Delhi | 2% |
| Kanpur | 3% |
| Kolkata | 3% |
| Mumbai | 4% |
| Rudrapur | 4% |
Change is on Jan 21st as compared to 14th Jan 2011
Plates
GRADE B
12-20X2500
| Location | Change |
| Ahmedabad | 4% |
| Bangalore | 1% |
| Chennai | 3% |
| Delhi | 2% |
| Indore | 2% |
| Kanpur | 4% |
| Kolkata | 3% |
| Mumbai | 4% |
| Raipur | 0% |
| Rudrapur | 4% |
Change is on Jan 21st as compared to 14th Jan 2011
CR
DSK
0.63x1000
| Location | Change |
| Ahmedabad | 1% |
| Chennai | 2% |
| Delhi | 2% |
| Kanpur | 2% |
| Kolkata | 1% |
| Mumbai | 4% |
| Pune | 4% |
| Rudrapur | 2% |
Change is on Jan 21st as compared to 14th Jan 2011
GP
100Gms
0.4
| Location | Change |
| Mumbai | 4% |
| Chennai | 2% |
| Kolkata | 5% |
| Delhi | 2% |
| Ludhiana | 0% |
| Kanpur | 2% |
| Rudrapur | 2% |
| Bangalore | 2% |
Change is on Jan 21st as compared to 14th Jan 2011
GC
100Gms
0.4
| Location | Change |
| Bangalore | 2% |
| Chennai | 2% |
| Delhi | 2% |
| Kanpur | 2% |
| Kolkata | 4% |
| Mumbai | 4% |
| Ludhiana | 1% |
| Rudrapur | 2% |
Change is on Jan 21st as compared to 14th Jan 2011
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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