Indian exporters of hot dip galvanized (HDG) coil have maintained their offers unchanged at $780/mt FOB and, while activity has continued to be negligible in the US market amid fears of tariff protections, there are reports of local exporters acceding to discount requests from Gulf buyers in order to push volumes to the region, traders said on Thursday, March 8.
Sources said that US buyers have remained virtually absent from the Indian market and Indian exporters are not keen on any sharp reduction in offer levels even to maintain a marginal presence in the US market.
However, in sharp contrast, Indian exporters have started to accede to demands for discounts among buyers in the Gulf Cooperation Council (GCC) region and reports indicate a slight uptick in transaction volumes to the Gulf market at discounts averaging $10/mt.
“Activity in the Gulf had remained very low over the past few months as Indian exporters were refusing to grant discounts demanded by buyers,” a Mumbai-based trader said.
“It is however too early to say whether pushing discounted HDG volumes to the Gulf and increasing shipment volumes is aimed at compensating for the expected loss of the US market, but the demand revival in Gulf markets is a welcome development,” the trader added.