Steel Prices Fell to Rs 70,915 Per Tonne in June on Duty Cut, Says Minister Kulaste

Last Updated: July 28, 2022, 5:34 PM IST

The per tonne prices of cold rolled coilds continued to register an upward trend to peak at Rs 85,237 in April 2022.

Indian primary mills reduce flat steel prices by Rs 3,000-5,000 per tonne in the first week of July while longs had remained more or less unchanged

Prices of Cold Rolled Coils (CRC) steel declined to Rs 70,915 a tonne in June from the peak of Rs 85,237 per tonne in April, Union minister Faggan Singh Kulaste has said. Steel is one of the most widely-used alloy and any movement in its prices impacts the consumers in sectors like infrastructure and automobile.

“To stabilise prices of coal and address the issues of steel producers, government has made modifications in tariffs on raw materials of steel, which includes coking coal, vide notification dated 21.05.2022 wherein import duty on anthracite/pulverised coal injection coal, coke and semi-coke have been reduced to zero,” the Minister of State for Steel has said in the Rajya Sabha. According to Kulaste, from Rs 72,081 in 2021, the per tonne prices of CRC continued to register an upward trend to peak at Rs 85,237 in April 2022.

However in May 2022 — when the government announced duty related measures — the steel prices came down to Rs 79,106 per tonne and further to Rs 70,915 a tonne in June 2022. According to steel industry consultancy SteelMint India, Indian primary mills reduced flat steel prices by Rs 3,000-5,000 per tonne in the first week of July while longs had remained more or less unchanged. Mills reduced flats prices mainly because of the lack of export orders in the aftermath of the 15 per cent export levy.

“It seems that prices have almost bottomed out. We can say this based on the fact that many mills have opted for production cuts in July to restore the supply-demand imbalance especially in flat steel. This will support prices,” the research firm said while sharing its outlook on the price trend.

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