Local Indian cold rolled coil (
CRC) prices have moved down to around INR 46,500/mt ($743/mt) ex-works during the past week, while dealers have started to offer discounts of INR 500/mt ($8/mt) to reduce stocks, traders said on Thursday, January 8.
According to a Mumbai-based trader, the discounts have been offered in western and southern Indian markets, with many dealers seeking to liquidate stocks in anticipation of price adjustments by local steel mills later this month.
In any case, stocks are reported to be on the high side at both steel mills and dealers and, with the end of the financial year on March 31 just a few months away, market intermediaries are keen to reduce stocks and improve cash flows for accounting purposes, the trader added.
Market sources said that no significant import transactions have been reported during the past week as actual users have not been keen on imported
CRC given the weakness of the Indian currency and the likelihood of local steel mills adjusting their domestic prices.