Uncertainty continues to undermine seamless pipe market sentiment in India. Demand from local customers is still very sluggish despite the end of monsoons and the onset of the festive season. Indian seamless pipe exporters also witness definite signs of a slowdown in Europe due to devaluation of the euro.
However, there is some demand for Indian seamless pipes from South Africa and Middle East.
Domestic offers of Indian seamless pipes have decreased by INR 1,000-2,500/mt over the past month, and in dollar terms domestic quotations of seamless pipes have decreased by a maximum of $30/mt.
Export offers of seamless pipes from Indian producers have remained mostly unchanged with a maximum decrease of $50/mt in some cases. Import offers of Chinese seamless pipes have remained in their previous range. For the coming period the market sentiment remains low owing to global macroeconomic concerns. However, seamless pipe producers in India hope to maintain their offers at the current levels in the coming month.
Most offers of Indian seamless pipes 2"-10" grade B made to ASTM A106 are being given to the local market at around INR 52,000-54,500/mt ($1,140-1,200/mt) ex-works on theoretical weight basis, excluding tax. Meanwhile, domestic quotations of the same pipes, 2"-4", from top Indian pipe producers are at the level of INR 63,500-68,000/mt ($1,395-1,490/mt) ex-works.
The majority of export offers of Indian seamless pipes, 2"-10" grade B as per ASTM A106, are standing at around $1,200-1,250/mt FOB. Export quotations of seamless pipes, 2"-4" grade B as per ASTM A106, from top Indian pipe producers are at the level of $1,460-1,560/mt FOB.
Prices for Chinese seamless pipes, 2"-6" Sch 40 grade B as per ASTM A106, given to India are at $950-1,030/mt CFR actual weight.