Indian Iron & Steel Industry: CY19 VS CY18

Indian steel industry observed a sharp increase in exports of iron ore, billets and flat steel in CY19. Domestic steel prices moved down amid slowdown in automotive sales, higher inventories with mills and dull domestic demand. SteelMint has compiled an yearly report covering Indian steel market highlights, price trends in domestic market and for exports and imports. The report also covers statistics of key steel making commodities. Few of the key highlights from the report are as follows:

Raw Material:

Iron Ore & Pellets

- Indian iron ore exports increased 82% and pellet exports by 59% Y-o-Y in CY19

- Chhattisgarh govt. extended leases of four NMDC mines that were due for extensionin Mar'20 for 20 years

Coal

- Coal imports were necessitated by a subdued coal production seen in the year, due to extended monsoon where torrential rains during Sep'19 has hampered coal production across various subsidiaries of CIL.

- The government has introduced "Mineral Laws Ordinance 2020" which will allow the participation of traders in commercial coal auction.

Scrap:

- Ministry of Steel (Indian govt) in an endeavor to develop a globally competitive steel industry by adopting state of the art environment friendly technologies has notified steel scrap recycling policy in Nov'19.

Semi-Finished:

- Pig iron prices dropped following slump in steel prices amid limited export bookings.

- Semi-finished steel; Billet, Ingot and Sponge prices declined upto 14% due to slowdown in domestic demand and liquidity issues in trade segment.

- India's billet and bloom exports were recorded at 2.69MnT during CY19, up 12% Y-o-Y.

Finished Steel:

- India has imposed provisional anti-dumping duty on the imports of aluminum and zinc coated flat products from three countries including China, Vietnam and Korea.

- Exports of HRC & plates jumped 82% Y-o-Y in CY19 on increased HRC exports to Vietnam

Ferro Alloys:

- Indian Ferro Alloys exports dipped by approximately 4% in CY19

- Meanwhile, Odisha started the auctions of working mines by first putting two non-captive chromite blocks under the hammer

- Government of India has implemented the Steel Import Monitoring System (SIMS)

To download complete report in PDF format, please click here

https://www.steelmint.com/steelreport?type=s&category=31