Local Indian cold rolled coil (CRC) prices have remained stable amid scarce trading for festival consideration, but the mood remains positive with key user industries reporting robust sales expected to resume fresh bookings after a week or so, SteelOrbis learned from trade and industry circles on Monday, November 6.
Sources said that benchmark 0.9 mm CRC prices are unchanged at INR 63,100/mt ($758/mt) ex-Mumbai and are stable at INR 64,250/mt ($771/mt) ex-Chennai in the south.
They said that, even though price movements in recent weeks have been minimal amid thin trading, large users in consumer durables and automobiles would need to restock raw materials soon, providing support for the market to move on to the next uptrend.
“We hear a sharp inventory drawdown with re-rollers. Integrated mills are actively considering base price increases in the coming weeks. The pause in fresh bookings is largely because of festival holidays starting later this week. Bulk users too are heard to have low raw material stocks and will return soon around next week seeking to restock. These will trigger the next uptrend,” a Mumbai-based trader told SteelOrbis.
“Mills are considering base price increases of at least INR 1,000/mt ($12/mt). The only thing not clear is when they will make the announcement,” he added.
$1 = INR 83.30