India: HR plate trade prices fall by up to INR 1,000/t m-o-m

• Prices of HSM and PMP plates edge down w-o-w
  
  
• Need-based procurement weighs down market

  
  
  

Monthly average prices of HR plates (IS2062, Gr E250 Br, 20-40 mm) fell by up to INR 1,000/t to INR 52,500/t exy-Mumbai in November from INR 53,500/t in October.

In the current week, as per BigMint's weekly assessment, HR plate (IS2062, Gr E250 Br, 20-40 mm) tags decreased by up to INR 1,000/t w-o-w to INR 50,500-53,000/t exy-Mumbai on 27 November 2024. Additionally, prices of hot strip mill (HSM) plates (IS2062, Gr E250 Br, 5-10 mm) decreased by INR 500/t w-o-w to INR 48,000-49,000/t exy-Mumbai. Prices exclude 18% GST.

Market overview

Trade market declines: The trade prices witness a continual decline in prices as the demand in the market was non existent. The liquidity also presented a concern in market as sales were low as buyer's went in for need based buying while negotiating.

"The market is in a very bad way as demand has almost dried up. We are also struggling with the cashflow as sales realisation has been very slow. We expect prices to remain the same in short term as demand is nowhere to be seen, " informed a market participant.

Global plate export offers remain stable: Chinese heavy plate (SS400) export offers remained stable at $510/t FOB China this week.

Commercial vehicle sales edged up: The commercial vehicles edged up by 2% m-o-m to 75000 units in October 2024 from 73549 units in September 2024. However the inventory levels still remained on the higher side.

Outlook

With the falling demand and stable production from mills the prices are expected to remain range bound in near term.