Steel companies have increased prices of flat steel, used by automobile and consumer durable sectors, by Rs 500-1,000 a tonne, but reduced prices of long steel, used primarily in the construction sector, by Rs 500-2,000 a tonne.
Tata Steel has increased spot prices of hot-rolled (HR) products by Rs 500-1,000 a tonne and so has Steel Authority of India (SAIL). A SAIL spokesperson clarified, “We have not increased prices of items, such as GP sheets, used by the common man.”
JSW Steel has increased prices of flat steel by 2-3 per cent. Cold-rolled and galvanised steel producer Uttam Galva Steels has hiked prices by Rs 2,000 a tonne.
However, while flat steel prices are being increased, long products are showing a reverse trend.
Jayant Acharya, director (sales & marketing), JSW Steel, said long product prices had been reduced by 3-4 per cent on account of seasonality and less project demand. “But with the focus on infrastructure in the Budget, project demand will also pick up from October,” said Acharya. SAIL has reduced long product prices by Rs 500-2,000 a tonne.
Industry sources said the increase in flat steel was on the back of the increase in global prices.
In Europe and the US, demand was gradually picking up. ArcelorMittal and Corus were also ramping up production quarter-on-quarter. In the last couple of months, HR coil prices in the international market moved up $200 a tonne to around $600 a tonne.