Indian Billet Exports to Cross 2 Million Tonnes in 2017 - SteelMint Research

Indian billet exports are set to cross 2 million tonnes in the current calendar year on rising demand from Nepal and South East Asian countries and absence of Chinese billets.

Last year, the total billet exports stood at 1.75 million tonnes.

In 2017 till Sep-end, the total shipments stood at around 1.85 million tonnes.The growth in billet export volumes is expected to help India become 4th largest exporter of billet in the world, largest being the Russia, with an annual volumes of 15.16 million tonnes (2016), followed by Brazil 6.25 MnT & Japan 4.26 MnT.

Nepal contributes 45% of Indian exports

Indian billet exports to Nepal doubled in the first seven months of 2017 at 650,000 MT as compared to the same period last year at 330,000 MT.

Billet exports to Nepal increased sharply on account of rising re-rolling facilities in the country. The demand for construction materials suddenly skyrocketed after the government lifted ban on construction of new buildings and houses that was imposed after the major earthquake, which hit Nepal in April 2015.

Also, the Nepal does not have sufficient power supply that can support in house melting facility and have to be dependent on imported billet to meet demand from rolling mills.

Rising demand from SE Asian countries

Indian billets have become popular in SE Asian counties like Indonesia and Philippines owing to absence of Chinese billets in seaborne market. Chinese suppliers are out of the market since mid 2016 due to improved domestic demand and closure of small induction furnaces.

SE Asian contributed 31.5% of Indian exports in 2017 (till July).

Indian steel exports increase by 20.8 % during September compared to August 2017.