Local Indian cold rolled coil (CRC) prices have remained stable for the third consecutive week at INR 41,000/mt ($640/mt) ex-works, since buyers have largely stayed away from the market and dealers have not been willing to restock, traders said on Tuesday, August 1.
“According to reports, most dealers are already carrying sufficient stocks and have no appetite to restock. End-users have also stayed away from the market due to the uncertain demand trend” a Mumbai-based trader said.
“Even the reports that Indian steel mills are likely to go in for an across-the-board price revision within the next week have not triggered any urgency among market participants to conclude new deals,” the trader added.
However, two other traders shared their optimistic view over the medium term, stating that domestic prices are expected to edge up in reaction to the strengthening of international flat product prices.
Indian steel mills are expected to take advantage of the negligible import competition to push up base prices and it is only a matter of time before dealers announce a price hike even though aggregate volumes might drop in the absence of a significant demand uptick, the two traders added.
According to some market players, Indian steel mills are expected to hike their CRC base prices by around INR 500/mt ($8/mt) within the next few days.
$1 = INR 64.08
