Indian Steel Ministry to review steel prices and exports

Indian Steel Ministry to review steel prices and exports

According to recent news in the market, Indian Steel Ministry will hold a meeting on June 12, 2004 with the purpose of discussing fluctuations in steel prices and export volumes of steel products. At the meeting, implementation of price mechanism that will prevent domestic prices to be affected by international prices will be discussed. Moreover, the Ministry will review volume of exported steel products. In the first phase, Duty Entitlement Pass Book (DEPB) incentive that was cancelled on March 27, 2004 is planned to be restored. Hot rolled coil prices in India have increased to Rupees 29'857 ($657) per ton in May from Rupees 20'500 ($451) per ton in January 2003. Likewise, cold rolled coil prices have increased to Rupees 34'300 ($754) per ton in May 2004 from Rupees 26'000 ($572) per ton in January 2003. Price review holds great importance especially for five Indian producers; Steel Authority of India Ltd (SAIL), Tata Iron and Steel Corp (TISCO), Essar Steel, Ispat Industries and Vijaynagar Steel Ltd as they accepted not to hike their prices till June.