Prices in the local Indian cold rolled coil (CRC) market have remained stable for the second consecutive week at INR 44,500/my ($647/mt) ex-works, amid falling market activity as most participants have continued to wait and watch the evolving liquidity crisis and the pricing strategy of domestic steel mills for December, traders said on Tuesday, November 29.
“Dealers continue to face cash liquidity issues with continuing restrictions on withdrawals from banks and so interest in concluding fresh bookings is low,” a Mumbai-based trader said.
“At the same there is uncertainty over pricing by local steel mills. Some dealers are expecting a large upward revision in base prices. Others maintain that steel mills will keep prices unchanged and wait for the liquidity situation to improve,” the trader added.
Market sources said that in select regions like the west and north of India, dealers who are particularly cash strapped are offering discounts of around $15/mt to ensure cash flow and faster stock liquidation.
$1 = INR 68.63