Indian Steel Prices Drop to Lowest Point in Over Three Years
Steel

Indian Steel Prices Drop to Lowest Point in Over Three Years

Steel prices in India have fallen to their lowest level in over three years, primarily due to increased imports and reduced exports, according to data from commodities consultancy BigMint. The average local price of hot rolled coils used in manufacturing was reported to be Rs 52,267 per tonne in July.

India, which is the world's second-largest producer of crude steel, became a net importer in the fiscal year that ended on March 31, 2024. This trend continued, with imports of finished steel reaching a five-year high during April-May, as indicated by provisional government data.

BigMint explained that the surge in imports from China and Vietnam, coupled with the Chinese supply in global markets, has rendered Indian exports less competitive in many regions, which has put downward pressure on domestic prices. The consultancy noted that this combination of increased imports and diminished exports has had a significant impact on the pricing dynamics within the Indian steel industry.

The federal steel ministry has reportedly requested the trade ministry to investigate the influx of cheaper steel imports from China and Vietnam.

Due to rapid economic growth and increased infrastructure spending, India has become an attractive market for both domestic and international steel producers, particularly as steel demand has slowed in Europe and the United States.

Last week, Tata Steel's chief executive, T V Narendran, anticipated that demand in India would rise from October to March, driven by sectors such as construction, automobiles, and railways.

Steel prices in India have fallen to their lowest level in over three years, primarily due to increased imports and reduced exports, according to data from commodities consultancy BigMint. The average local price of hot rolled coils used in manufacturing was reported to be Rs 52,267 per tonne in July. India, which is the world's second-largest producer of crude steel, became a net importer in the fiscal year that ended on March 31, 2024. This trend continued, with imports of finished steel reaching a five-year high during April-May, as indicated by provisional government data. BigMint explained that the surge in imports from China and Vietnam, coupled with the Chinese supply in global markets, has rendered Indian exports less competitive in many regions, which has put downward pressure on domestic prices. The consultancy noted that this combination of increased imports and diminished exports has had a significant impact on the pricing dynamics within the Indian steel industry. The federal steel ministry has reportedly requested the trade ministry to investigate the influx of cheaper steel imports from China and Vietnam. Due to rapid economic growth and increased infrastructure spending, India has become an attractive market for both domestic and international steel producers, particularly as steel demand has slowed in Europe and the United States. Last week, Tata Steel's chief executive, T V Narendran, anticipated that demand in India would rise from October to March, driven by sectors such as construction, automobiles, and railways.

Next Story
Infrastructure Transport

Mumbai-Ahmedabad Bullet Train Set to Launch by 2028

India’s first bullet train is set to revolutionize high-speed travel along the western corridor, with the Mumbai-Ahmedabad high-speed rail project aiming for a 2028 launch. This announcement marks a major milestone in India’s infrastructure goals, as it promises to reduce travel time between the two economic hubs from eight hours to just three.Spanning a planned 508-kilometre stretch, the corridor stands as a flagship example of Indo-Japanese collaboration in technology and engineering. Once operational, the train is expected to transform intercity mobility and place India among the select..

Next Story
Infrastructure Transport

Mumbai-Gandhinagar Train Service Enhances Passenger Capacity

The Mumbai Central–Gandhinagar Capital Vande Bharat Express has increased its passenger capacity by adding four additional AC chair car coaches to meet the growing commuter demand on one of India’s busiest business corridors. This upgrade, effective from 11 May, raised the train’s seating capacity from 1,128 to 1,440 passengers, allowing it to serve 936 more passengers daily in both directions. The increase was described as a practical measure to accommodate the surging demand on the busy Mumbai–Ahmedabad–Gandhinagar route, which regularly operates at over 150 percent seat occupancy...

Next Story
Infrastructure Urban

Delhi Plans 12 Sewage Plants to Clean Najafgarh Drain Efficiently

Delhi’s ambitious plan to improve the water quality of the Yamuna River has gained significant momentum as the Delhi Jal Board (DJB) has begun work on 12 new sewage treatment plants (STPs) aimed at reducing the volume of untreated sewage being discharged from the Najafgarh Drain.This initiative forms part of the ongoing efforts to clean the Yamuna and restore the river’s health, which has long been a critical environmental issue for the national capital. Given the alarming pollution levels in the Yamuna, experts and officials consider this project a vital step toward addressing the persist..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?