India: HR plate buying softens after mills increased offers for Oct

The domestic HR plates have observed limited buying this week after the mills announced a steep hike in Oct deliveries by INR 1,000-2,000/t. SteelMint's benchmark assessment for HR-plates (IS 2062, 5-10mm) stood at INR 42,250-42,300/t exy-Mumbai, unchanged against the previous week.

"Sales in the trade market is on the slower side " shared one of the major plate manufacturers. Market sentiments remain stable this week because market prices are at the peak thus traders are limiting their purchases.

However, on the other hand, manufacturers expect demand to pick up in the near term

Demand expected to pick up - Market sources expect that demand will pick up on increased inquiries from construction, Infrastructure, and pre-engineered sectors. Demand in the oil and gas sector will pick up from December.

Meanwhile with the commencement of the festive season the yellow and white goods sector, wind segment, water pipelines and fabricator industry is expected to remain active.

Outlook- Major Indian steel manufacturers are planning for a further hike in flat steel prices in Oct'20. However further hike in prices will sustain or not, is uncertain.