Local Indian hot rolled coil (HRC) trade prices have rallied in the past week on the back of combined support from higher base prices announced by large mills, the decline in import arrivals and tighter supplies, SteelOrbis learned from trade and industry circles on Tuesday, April 8.
Sources said that trade-level HRC prices have moved up by around INR 300-500/mt ($4-6/mt) with prices reported at INR 52,500/mt ($609/mt) ex-Mumbai and INR 53,000/mt ($615/mt ) ex-Chennai in the south.
The uptrend was also supported by reports of dwindling import volumes as importers became cautious towards new bookings in view of the impending 12 percent safeguard duty.
Citing information available from ports, trade circles said that import arrivals during March were estimated at 290,000 mt, about 15-18 percent lower year on year.
There have also been reports of supplies from mills to the market tightening, with at least two large mills undergoing maintenance shutdowns.
$1 = INR 85.80