Local Indian cold rolled coil (CRC) prices have remained unchanged during the past week at around INR 49,000/mt ($789/mt) ex-works despite dull trading conditions and falling demand, traders said on Thursday, November 20.
According to a Mumbai-based trader, inventories in the market are reported to be high both at dealers' end as well as at steel mills as there has been a significant slowdown in stock movements.
"Even in the best of times CRC stocks move slower compared to other flat products. However, with expectations for growth in the manufacturing sector being disappointed, demand for CRC has sagged, steel mills are keeping their base prices unchanged, while dealers are not interested in concluding fresh bookings," he said.
Sources state that local CRC prices have remained stable even in the face of falling demand entirely owing to the protection the falling Indian currency provides against imports.
No new import transactions for December-January shipments have been reported in the market during the past week, the sources said.
The Indian rupee on Wednesday, November 19, hit an eight-month low of INR 61.96 to a dollar.
$1 = INR 62.08