India's December crude steel output weaker

India's crude steel output in December fell by 3.7pc from a year earlier to 9.01mn t, as large-scale steel mills carried out maintenance to slow production amid sluggish demand.

Finished steel demand in December increased by 2.17pc to 8.33mn t, according to the steel ministry.

Crude steel output during April-December, the first nine months of the 2019-20 fiscal year, was higher by 0.1pc to 81.91mn t. Finished steel consumption increased by 3.46pc during the same period to 74.83mn t.

Total production in December by state-controlled producers Sail and Vizag Steel dropped by 11pc to 1.7mn t.

Output from the three main private-sector producers JSW Steel, Jindal Steel & Power and AMNS India — formerly Essar Steel — fell by 4.4pc from the previous year to 2.3mn t. Tata Steel's output was marginally higher by 0.1pc at 1.08mn t.

India's steel demand is forecast to grow at a slower pace of 5-6pc in 2019-20 compared with projected 7.5pc growth in 2020-21.

Steel imports in December fell by 20.3pc to 437,000t. Exports more than doubled to 767,000t as slower domestic demand and rising global prices prompted mills to sell more volumes overseas.

By Charlotte Rao

source: Argus Media