The Hindu Business Line : Steel prices hiked by up to Rs 2,500/t

New Delhi, Feb. 1 Major domestic steel producers have increased prices by up to Rs 2,500 per tonne across various products. This is the second time that steel manufacturers have revisited prices in as many months.

In January, while the public sector companies increased prices by Rs 500 to Rs 1,500 per tonne, private companies hiked prices by Rs 500 to Rs 1,000 per tonne.

The largest domestic steel manufacturer, Steel Authority of India Ltd, has increased prices by Rs 1,500 to Rs 2,500 per tonne across product categories, while Rashtriya Ispat Nigam Ltd (RINL), the holding company of Vizag Steel Plant, hiked them by Rs 1,000 to Rs 1,500.

“The company after increasing prices in the beginning of January by Rs 800 to Rs 1,500 per tonne, made a correction on January 28, when they were further hiked by Rs 3,000 to Rs 3,500. ,” a RINL official told Business Line.

“We have increased the prices in line with market conditions by Rs 2,000 to Rs 2,500 on hot rolled, cold rolled and galvanized steel only in the spot market,” an official from Tata Steel said. Essar Steel Ltd also orchestrated a rise by 7-8 per cent, or Rs 2,000 to Rs 2,500 a tonne, mainly to offset higher input cost. Ispat Industries, it is learnt, has also followed suit and taken prices northwards by Rs 2,000 per tonne.

“According to estimates, prices of coking coal increased by 20 to 25 per cent in the last couple of months and the companies are paying close to $ 60 - $ 70 per tonne as ocean freight for a Panamax vessel. Iron ore prices, on the other hand, have risen by over 30 per cent in the international spot market during the last two months and are currently around $ 200 per tonne,” sources said.

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