Indian HDG export volumes to US improve due to offered discounts

Indian export offers for hot dip galvanized (HDG) coils have remained unchanged during the past week at around $880/mt CFR US, but local exporters are able to push relatively higher volumes with discounts in the range of $10-15/mt, traders said on Wednesday, October 1.
 
"Some regions in the US have been seeing a marginal softening of flat product prices. Indian exporters have given discounts on their offers in order to conclude transactions after failing to push any significant volumes early last month," Mumbai-based traders said.
 
"The Indian rupee also moved down to a seven-month low to INR 61.76 to a dollar, which has also enabled local exporters to offer discounts and has minimized the erosion of margins," he added.
 
However, market sources said that, even though HDG export volumes have revived during the week, sentiments are cautious amid reports that US steel imports slowed down by five percent in August month on month and local traders are unsure whether this is a seasonal blip or an emerging trend.
 
The sources said that there are no reports of any significant transactions reported from markets in the Gulf Co-operation Council (GC) region as business activity is low there in view of the approaching Feast of Sacrifice holiday.