India: Domestic Galvanized Plain Coil Offers Move Up Sharply

With the announcement of hike in flat steel prices in the start of CY18,Indian mills have also raised the prices of Galvanized plain coil (GP) upto INR 2000/MT in domestic market.

Surge in raw material cost such as iron ore and coking coal prices has pushed the Indian manufacturers to raise the flat steel prices and to escalate the inflated cost to end users.

Currently price assessment for Galvanized plain coil (0.8 mm, 120 GSM) is at : INR 54,000/MT (ex-Mumbai), INR 51,000-53,000/MT (ex-Chennai), INR 54,000/MT (ex-Delhi).

Traders and manufacturers remained positive regarding bookings made in the domestic market. However,market participants mentioned that rise in raw material cost may put domestic flat steel prices under pressure.

Indian GP/GC exports fell in Apr-Nov'17-
According to JPC (Joint Plant Committee) data ,Indian GP/GC export volumes showed decline in Apr-Nov'17 and stood at 0.76 MnT against 1.11 MnT in similar time frame of previous fiscal.Major markets for Indian GP/GC exports are Belguim ,Ethiopia,Indonesia followed by Italy , Spain and USA.

Chinese HDGI export offers rose marginally despite dull buying
Chinese HDGI (1 mm) export offers moved up marginally by USD 5/MT despite weak buying among overseas buyers post year end holidays.

Currently HDGI 1mm 120 g zinc coated export offers are assessed at USD 680-690/MT,FoB China.

Major mills in China have rolled over the HDGI export offers and are heard around USD 685-695/MT.No major deals have been concluded yet.