Price increases in India to be delayed for now
According to reports from the industry, it is understood that major Indian steel companies namely, Essar Steel,
Tata Steel,
SAIL,
Jindal Vijaynagar and Ispat have decided not to hike steel prices in the domestic market in October. The most effected steel parties by the high steel price levels in the country are the end-users, particularly automakers. This decision is attributed to the Finance Minister's statement about lowering duties on imported steel for the purpose to reach commonly raised local prices. Besides, it is reported that contractors which were pretty unhappy at the price hikes, are menacing to stop projects which are underway. Another reason is forecasted to be the stable prices in international markets for the last two months.
Steel producers are in talks with customers to make contracts on a quarterly system of prices instead of monthly system and in case it is accepted, the system will be eventuated from next month.