India: Domestic HRC Market Struggles Amid Subdued Buying

Indian HRC prices witnessed marginal decline this week in few markets owing to bearish market sentiments and tedious demand prevailing in domestic market.Traders reported weak buying interest due ongoing general assembly elections in India.

This week domestic HRC prices moved down by around INR 500/MT in few major regions

Current trade reference prices in traders market for HRC (IS2062) 2.5 mm-8 mm is around INR 42,000/MT (ex-Mumbai) and INR 41,700- 41,800/MT (ex-Delhi) and INR 44,000/MT (ex-Chennai).The prices mentioned above are basic prices excluding GST @ 18% on cash payment basis.

Currently trade reference prices for CRC (IS513) 0.9mm is hovering in the range of INR 47,000/MT (ex-Mumbai),INR 45,300-47,300/MT (ex-Delhi) and INR 50,000/MT (ex-Chennai).The prices mentioned above are basic prices excluding GST@18% on cash payment basis.

A trader based in Ludhiana shared that,”Amid sluggish trade and lower sales volumes traders are expecting discounts and rebates to push buying”.

In the beginning of the month Indian steel manufacturers surge domestic HRC prices by INR 500-1000/MT.However amid sluggish trades due to ongoing elections HRC prices seems difficult to absorb in domestic market.