India HDG exporters push volumes to Gulf and Africa, but at discounts

Thursday, 20 January 2022 14:19:55 (GMT+3)   |   Kolkata

Indian hot dip galvanized (HDG) coil exporters have maintained their prices stabler in the past week after an increase in the previous week, while moderate trades have reported to the Gulf region and Africa with marginal discounts, SteelOrbis learned from trade and industry circles on Thursday, January 20.

General ex-India HDG prices have been kept unchanged at $1,040-1,060/mt FOB, but discounts of around $10/mt were heard to be on offer to conclude deals with buyers in the Gulf and Africa.

“There is improved buying interest from the Gulf region. Buyers from Nigeria are also showing import interest. But it is a very price-sensitive market and deals are only able to be pushed after discounts,” a source from a major Indian mill said.

“HDG prices weakened in China and the US, which are headwinds to Indian prices. We assess that the export market will remain confined to moderate volumes and that prices will remain range-bound,” the source said.

Market sources and trade circles said that a Gujarat-based mill reported a trade for around 10,000 mt with a Gulf-based trading firm $1,030/mt FOB net of a discount heard at $10/mt.

An eastern India-based integrated mill has concluded a trade for 8,000-10,000 mt with a buyer in Africa at $1,050/mt FOB, while the initial offer was $15/mt higher.


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