Local Indian pig iron prices have remained stable during the past week at around INR 16,500/mt ($241/mt) ex-works even though more producers have increased base prices, traders said on Wednesday, February 17.
“There are not many signs of price changes at the dealers’ end despite more producers increasing prices, which indicates that dealers are carrying large stocks and are not able to pass on higher prices to buyers,” a Kolkata-based trader said.
“At the same time, contrary to the divergent trends seen early in the month, most producers are starting to increase their prices largely owing to the need to improve margins as the fiscal year draws to a close,” the trader said.
Neelachal Ispat Nigam Limited (NINL), which had reduced its prices early in the month by INR 500/mt ($7/mt), has announced a base price hike of the same margin, sources said.
NINL’s rolling back of its previous price reduction has come close on the heels of the price hike of around INR 300/mt ($4/mt) by Steel Authority of India Limited (SAIL).