Over the past two weeks, domestic prices of Indian welded pipes in the national currency have stayed at previous levels, reflecting firm quotations of raw materials; however, prices in dollar terms have dropped in the same period by around $10/mt due to the weakness of the rupee. Export offers of Indian welded pipes have declined by $20-50/mt due to currency fluctuations and modest demand from foreign customers. Indian pipe makers do not plan to reduce their domestic quotations as demand from local buyers is expected to pick up ahead of summer. On the contrary, market participants believe that Indian welded pipe producers may raise their domestic and export offers amid higher quotations of flat steel, the recent depreciation of the Indian rupee and the rise in international welded pipe prices.
Indian domestic quotations of ½"-6" black ERW pipes made to IS 1239 or BS 1387 (light series) are at levels of INR 42,000-43,000/mt ($810-830/mt) ex-works. Prices are given excluding tax and on actual weight basis. Current domestic prices of 1"-6" galvanized ERW pipes made to BS 1387 (light series) or IS 1239 are in the range of INR 47,000-48,000/mt ($905-925/mt) ex-works.
Most Indian producers are offering 1"-6" black ERW pipes as per BS 1387 (light series) to foreign customers at around $830-850/mt FOB. At the same time, export quotations of 1"-4" black ERW pipes as per BS 1387 or IS 1239 from top Indian producers, like Jindal Pipes, are at the level of $985-995/mt FOB, while prices of 1/2"-3/4" pipes are at $1,000-1,010/mt FOB. Offers of 4"-6" black ERW pipes of grade B made to API 5L are being given to the external market at around $1,050/mt FOB.
Export prices of galvanized ERW pipes of 1"-6" size made to BS 1387 from most Indian producers are at around $900-930/mt FOB.