Indian hot dip galvanized coil (HDG) export prices have continued to slump for the second consecutive week, losing $10/mt to $525-535/mt FOB with contracts failing to be concluded with sellers unable to give firm delivery dates and buyers in key markets like the Gulf largely staying away from purchases, SteelOrbis has learned on Thursday, April 2.
Most of the leading Indian HDG exporting mills being located in the western region of the country have been unable to give definite delivery commitments to a few Asian buyers who had responded to offers but who subsequently withdrew from the market.
“Weak demand in key overseas markets, logistical challenges and risks are insurmountable now. Prices have become irrelevant. We were unable to follow up an inquiry and convert it into a medium-volume trade even after offering a 5-7 percent discount,” a manager of an eastern Indian private integrated steel mill said.
At least two traders said but did not officially confirm that one 8,000 mt contract concluded in the previous week for shipment to the Gulf was cancelled after the seller sought a revision of terms from end-of-April delivery to May delivery, which was not acceptable to the buyer.