Local Indian cold rolled coil (CRC) prices have remained largely stable in the past week, lagging behind the upward trend in the flat steel product segment owing to excess inventories at re-rollers and stray discounted sales amid the negative outlook in select user industries.
Sources said that the benchmark 0.9 mm CRC price is unchanged at INR 53,300-56,000/mt ($615-646/mt) depending on the supplier. “Unlike other flat products which have a wider range of applications, CRC prices are sluggish largely because major consuming industries like automobile and specialized packaging industries are facing a slowdown and hence raw material restocking is very cautious and on the lower side,” a Mumbai-based distributor told SteelOrbis.
“Mills may hike February base prices, but it will be difficult for the market to absorb them. Therefore, the best-case scenario is that prices will remain range-bound in the absence of positive drivers from the demand side,” another source said.
$1 = INR 86.60