MUMBAI (Commodity Online): Major steel producers in India expect the steel prices to go up in the coming months.
Steel Authority of India Ltd said steel prices will go up next month following a rise in global prices.
International prices have gone up so it’s likely that domestic prices will also go up next month.
SAIL is India’s top maker of the alloy and is likely to produce 13 million tonnes of crude steel in the current fiscal ending March 2010.
India’s steel demand in calendar 2010 is expected to grow 12.1%, steeper than the 9.2% forecast rise in global consumption.
Following this trend, steel firms in India like SAIL, JSW, Essar and Bhushan Steel are mulling a hike in prices next month.
Internationally, steel prices have improved by about $30 a tonne (to $450 a tonne) in the past one month. There is a possibility of JSW and other steel firms increasing the prices.
Steel producers have cut prices by about Rs 2,000 a tonne in the past two months following a fall in global prices and threat from cheaper imports.
Bhushan Steel said the price increase could be in the range of Rs 500-1,500 a tonne.
Essar Steel told a newspaper that the prices could be revised upwards next month.