Local Indian cold rolled coil (CRC) prices have remained stable during the past week at around INR 39,500/mt ($619/mt) ex-works, amid a dip in trading activity as most buyers deferred fresh transactions while awaiting price directions, traders said on Tuesday, June 30.
According to market sources, there have been reports indicating that local steel mills led by Steel Authority of India Limited (SAIL) is considering withdrawing all volume discounts for July deliveries, expecting the weakening Indian currency to offer import protection.
However, with ex-China CRC offers being lowered in response to the Indian government’s hike in import duty on flat products to 10 percent from 7.5 percent earlier, most market participants have opted to wait and see how prices play out in the face of the weakening currency and lower import offers, sources said.
Sources said that ex-China CRC offers have declined by $10-15/mt to around $460-470/mt CFR Mumbai for late July and August shipments, but very few transactions have been reported in the market.