Local Indian cold rolled coil (CRC) prices have declined by INR 1,000/mt ($16/mt) during the past week across the country to levels around INR 47,500/mt ($762/mt) ex-works amid a further drop in actual demand and the negative outlook for the manufacturing sector, traders said on Friday, December 12.
According to a Mumbai-based trader, dealers across the country had built up high inventories as stock movements had slowed down further due to low demand from actual users and given year-end considerations.
The trader said that major consuming sectors including the automotive sector are fighting against depressed demand and are aggressive in checking costs through inventory control and keeping CRC stocks at minimal levels, and this has impacted transaction volumes in the market.
Market sources said no import transactions have been reported during the past week as importers have taken a negative outlook and are unwilling to buy imports and keep stocks amid demand uncertainties.