India's finished steel exports down 54% y-o-y to 3.60 mnt in H1FY'23: JPC

India's finished steel exports stood at 3.601 million tonnes (mnt) in the first six months (April-September) of the current financial year - down sharply by 54% against 7.754 mnt in the same period of last year, as per provisional data released by the Joint Plant Committee (JPC) under the Ministry of Steel.

Exports volumes have taken a major hit since the 15% tax was slapped by the Indian government in the third week of May. Moreover, global inflation and energy crisis in Europe dented trade activities. And, other traditional markets have also witnessed subdued buying.

However, m-o-m exports picked up from 0.454 mnt in August to 0.577 mnt in September. Increase in exports is due to improved buying from the traditional markets. For instance, in August, Vietnam imported about 133,828 tonnes (t) of flat steels from India, a whopping rise of more than 250% m-o-m against 38,062 t in July.

Crude steel output up 7% in April-September

Indian mills churned 61.453 mnt of crude steel in April-September, up 7% against 57.531 mnt in the corresponding period last year (CPLY). Increased capacity utilisation at mills besides new capacity expansion has contributed to the rise in production.

However, m-o-m output stood largely stable at 10.215 mnt in September 2022, compared to 10.203 mnt in August as mills preponed their maintenance schedules on lack of buying interest in the domestic market. On y-o-y basis, production volumes rose 5% against 9.703 mnt in September 2021.

Finished steel consumption at 55.205 mnt in April-September

India's finished steel consumption rose 11% to 55.205 mnt in April-September, in comparison with 49.710 mnt in the same period of last year. However, in September 2022, consumption stood at 9.311 mnt, largely flat against 9.299 mnt a month ago because of sluggish demand and lack of confidence in falling prices. For instance, SteelMint's monthly average HRC prices fell from a peak of INR 78,000/t in April 2022 to nearly INR 57,700/t levels, lately in September.

In addition, y-o-y consumption levels improved 10% against 8.455 mnt in September 2021.