Steel behemoths such as JSW Steel, SAIL, RINL, Tata Steel and Essar Steel are likely to increase steel prices again for the month of Mar, 2014.
Steel industrialists in India are likely to increase their product prices during the end of FY14. Steel giants such as JSW Steel, SAIL, RINL, Tata Steel and Essar have plans to increase their prices effective from 1 Mar, 2014.
JSW Steel plans to increase prices by about INR 500-750/MT for the next month. The company is increasing its prices for the third time in 2014. However, the price hike for the initial two months, were in the range of INR 900-1000/MT. The recent hike might be in lesser range because of the average market demand and declined exports. The company’s annual exports to Middle East and European countries have increased in 2013, but monthly exports during 2014 have reported a decline.
SAIL is likely to increase its price for the second time in 2014 by about INR 500/MT. During Feb, 2014 it increased the price in a range of about INR 500-1000/MT. Also, Essar Steel might increase its price by around INR 1000/MT for the end of Q4 FY14.
At present, prices of the steel products such as Re-bar, Flat Steel, Structures, Cold/Hot Rolled Sheets etc are hovering in the range of INR 37,000-52000/MT, pan India.
Following the trend, RINL and Tata Steel are also in plans to increase their prices effective from Mar, 2014. RINL is likely to increase its price by about INR 750-1000/MT. Precipitous rise in railway freights and high raw material costs results in price rise of the steel products by the steel majors. Industry sources also mention that owing to shortage of inventory, the steel giants, especially JSW Steel and SAIL are increasing their product prices.