Prices in the local Indian hot rolled coil (HRC) market have remained stable for the third consecutive week at INR 44,500/mt ($685/mt) ex-works, amid expected base price revisions by domestic steel mills over the coming week, traders said on Monday, March 5.
“The market expects most large steel mills to increase base prices on the back of the sustained tightening of supplies and ahead of the closing on accounts for the current fiscal year on March 31. Formal announcements of base price revisions are expected to trickle in for this weekend,” a Mumbai-based trader said.
Sources said that market expectations are that HRC prices will increase by average of INR 500/mt at least.
The sources said that the depreciation of the rupee against the dollar during the past week would offer resistance to imports and, coupled with lower volumes on offer from large mills, this would provide the right opportunity for the latter to increase their HRC base prices.
$1 = INR 65.08