Prices in the local Indian cold rolled coil (CRC) market have remained unchanged for the second consecutive week at INR 44,500/mt ($687/mt) ex-works, due to the significant slowdown in end users’ buying and fall in market activity with festival holidays ahead, traders said on Tuesday, October 17.
“There is no interest among market participants to increase CRC bookings. End users are not willing to make purchases and dealers have more than sufficient stocks” a Mumbai based trader said.
Also with Diwali or Festival of Lights ahead, traders are not willing to block up funds in new transactions, which leads to inactive market conditions” the trader added.
Market sources said that ex-Indian CRC offers continue to fall for the second consecutive week, moving down another $10/mt to $580/mt FOB. Thus, most large Indian mills have directed their sales to domestic market.
The export market losing steam steel mills are expected to keep pushing higher CRC volumes in domestic market, the sources expected supply side pressures on prices to build up once business activity gets underway after the festival season.
$1 = INR 64.92