Major Stainless Steel Producers In India Slightly Reduce Prices

The Stainless Steel industry in India has been facing challenges as demand remained modest, and imports at competitive prices have resulted in stable or slightly reduced prices in the domestic market. In response, the major Indian producers have announced a reduction in their offers along with some discounts on lifting terms, especially in grades such as 304 series.

Price Reduction By Major Producers

As per sources report to Ofbusiness, Jindal Stainless has reduced its 304 HR prices by Rs. 4,000/ton and introduced an additional discount against all series and grades for its MOU customers.

Rimjhim Ispat has also reduced its SS 304 HR prices by Rs. 4,000/ton and announced an additional discount of Rs. 2,500/ton for Mill Edge coils (maximum coil width up to 1100mm), sources reported.

Retail Prices

Rimjhim’s SS 304 CR 2B is reported at Rs. 210/kg, while Jindal’s is at Rs. 220/kg. In terms of 316L HR N1, the price is at Rs. 353/kg, and 316L CR 2B is at Rs. 365/kg. However, despite the reduction in Finished Steel prices, the prices of Scrap remain stable, following firm import offers with a minor change of around $5/ton.

Scrap Prices

• Steel Scrap import offers have opened lower by $3-5/ton and are reported at around $425-430/ton CFR India for Shredded grade.

• The Scrap rate of SS 304 grade remains unchanged at Rs. 125/kg, while 201 J5/J8 mixed Scrap rate is Rs. 70/kg (also unchanged).

• Jindal has started buying its Scrap at the following prices: SS 304: Rs. 1,37,898/ton, SS 316L: Rs.2,39,762/ton, SS J5 Patta: Rs.78,500/ton, and SS J8 Patta: Rs.76,500/ton.

Future Prospects

Following recent revisions, SS 304 is expected to perform moderately, with increased bookings expected for imported and Jindal material for SS 200 series next week.

However, SS 400 series may have a dull run for the remainder of this month. The demand for 0.5mm, 0.7mm, and 1.2mm 304 CR 2B is present, and there are more HR 304 and 316L orders in the pipeline due to the opening of new projects.

While SS 316L Scrap is expected to have high demand in the near future, the rest of the grades are expected to perform in an average manner in the short to medium run.

OFB’s Insight

The Indian Stainless Steel industry is facing challenges due to modest demand from suppliers and competition from imports. However, the reduction in prices by major producers and stable Scrap prices have helped stabilize the domestic market.

Future prospects suggest a progressive outlook for SS 304, and stocking of SS 316L in HR condition is expected to be a good proposition. While the rest of the grades are expected to perform in an average manner in the short to medium run, the industry may face a dull run for SS 400 series in the remaining days of this month.

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