Steel products prices drops by 10%-15% to Rs 57,000 per tonne

19 May 2022 CW Team

Prices in the long products segment have declined about 10-15% to Rs 57,000 per tonne in the Kolkata market from a high of Rs 65,000 per tonne.

Steel sector players are witnessing challenges due to high input commodity prices as finished steel products have begun to decline in April after the Russia-Ukraine war.

Steel prices from leading players were at Rs 75,000 to Rs 76,000 per tonne.

Chairman of Steel Rolling Mills Association, Vivek Adukia, told the media that steel products like TMT bars and structurals have reduced to 10%-15% due to sluggish demand and are expected to ease more before it settles.

He said that costs have increased by 50% despite a compromise on the quality of inputs, while the secondary steel producers using Direct Reduced Iron (DRI) require high-quality thermal coal for making sponge iron. The imported coal price at $120 per tonne had increased to $300 per tonne after the Russia-Ukraine war.

According to Crisil's report, steel prices may trade at around Rs 60,000 per tonne by the end of the current fiscal year, down from the Rs 76,000 per tonne during the last month.

CEO and Managing Director of Tata Steel, T V Narendran, told the media that in India, the prices might reach Rs 8,000 to Rs 8,500 per tonne higher than in the fourth quarter, which will cover the cost increases due to high coal prices.

Koustav Mazumdar, associate director of Crisil Research, said that with the onset of the monsoon and less lucrative exports, the domestic steel prices should begin easing and move towards Rs 60,000 per tonne by March 2023, down from the Rs 76,000 per tonne, which will be well above the pre-pandemic levels.

Adukia said that steel companies are now forced to import coal as Coal India Limited (CIL) is not lending its ears to their demand.

He said that if coal prices in the international market do not drop, then 30%-40% of the secondary steel units will have to scale down production or close down. There are about 65 secondary units in West Bengal, with one lakh employment.

Image Source

Also read: India exports 13.5 mt finished steel worth Rs 1 lakh cr in FY22

Prices in the long products segment have declined about 10-15% to Rs 57,000 per tonne in the Kolkata market from a high of Rs 65,000 per tonne. Steel sector players are witnessing challenges due to high input commodity prices as finished steel products have begun to decline in April after the Russia-Ukraine war. Steel prices from leading players were at Rs 75,000 to Rs 76,000 per tonne. Chairman of Steel Rolling Mills Association, Vivek Adukia, told the media that steel products like TMT bars and structurals have reduced to 10%-15% due to sluggish demand and are expected to ease more before it settles. He said that costs have increased by 50% despite a compromise on the quality of inputs, while the secondary steel producers using Direct Reduced Iron (DRI) require high-quality thermal coal for making sponge iron. The imported coal price at $120 per tonne had increased to $300 per tonne after the Russia-Ukraine war. According to Crisil's report, steel prices may trade at around Rs 60,000 per tonne by the end of the current fiscal year, down from the Rs 76,000 per tonne during the last month. CEO and Managing Director of Tata Steel, T V Narendran, told the media that in India, the prices might reach Rs 8,000 to Rs 8,500 per tonne higher than in the fourth quarter, which will cover the cost increases due to high coal prices. Koustav Mazumdar, associate director of Crisil Research, said that with the onset of the monsoon and less lucrative exports, the domestic steel prices should begin easing and move towards Rs 60,000 per tonne by March 2023, down from the Rs 76,000 per tonne, which will be well above the pre-pandemic levels. Adukia said that steel companies are now forced to import coal as Coal India Limited (CIL) is not lending its ears to their demand. He said that if coal prices in the international market do not drop, then 30%-40% of the secondary steel units will have to scale down production or close down. There are about 65 secondary units in West Bengal, with one lakh employment. Image Source Also read: India exports 13.5 mt finished steel worth Rs 1 lakh cr in FY22

Infrastructure Urban

06 Jul 2026

ABS Marine Sees CRISIL Credit Rating Upgrade

ABS Marine Services has secured an upgrade to its long term and short term credit ratings from CRISIL, reflecting improved profitability and revenue growth through long term contracts. CRISIL moved the long term rating from BBB+/Stable to A-/Stable and revised the short term rating from A2 to A2+. The action signals strengthened financial metrics and operational resilience. The company benefited from durable client relationships with firms such as ONGC and Schlumberger. The rating decision followed stronger cash flows and an enlarged bank loan facility, which increased from Rs 3,705 million (m..

Infrastructure Transport

06 Jul 2026

Project BRAHMANK Marks 16 Years Of Strategic Roads In Arunachal

Project BRAHMANK is marking 16 years of work to establish strategic road and bridge links across Arunachal Pradesh, maintaining and developing 811 kilometres of roads and nearly 86 bridges that range from small culverts to large steel and arch bridges. These transport links are described as critical for ensuring year-round movement of defence personnel, equipment and essential supplies while improving everyday travel for people in remote villages. The project balances national security requirements with regional development by focusing on reliable access in challenging terrain. Notable enginee..

Infrastructure Transport

06 Jul 2026

Longleng CSOs Give One Week Ultimatum Over Two-Lane Highway

Civil society organisations (CSOs) in Longleng district have demanded immediate restoration of the deteriorating Changtongya–Longleng two-lane road and sought a detailed status report on the stalled construction within one week. The demand followed a consultative meeting convened under the Phom Peoples' Council (PPC) to discuss welfare and development concerns. PPC president YB Angam Phom said prolonged non-maintenance had caused hardship to commuters and affected transportation, local commerce and the district's development. The meeting urged authorities to undertake immediate restoration a..