India Steel Market Watch
December 1: Retail steel prices decreased 27.42% to Rs 31,139 per ton in October, 2015-16 from Rs 42,904 crore per ton in the same month in 2014-15.
Vishnu Deo Sai, the Minister of State for Steel & Mines, Government of India, said in the Lok Sabha that steel prices are market-driven and based on specific demand and supply conditions in the market. In a globally integrated market with external trade being free, steel prices are significantly shaped by the trends in the global market, he added.
The global steel market is characterised by excess capacity in steel as well as in raw materials.
These factors have put pressure on steel prices and, as a result, there has been a continuous fall in the same in the domestic market as well.
The steel market is deregulated and the government has no direct control over their prices. However, the government intervenes through appropriate fiscal policy measures to protect the industry from unfairly traded imports.
Retail steel prices in last four years:
Month |
2012-13 |
2013-14 |
2014-15 |
2015-16 |
April |
50230 |
46500 |
48353 |
38260 |
May |
50640 |
46500 |
48208 |
39999 |
June |
49630 |
46250 |
48353 |
35741 |
July |
49580 |
46250 |
48932 |
32993 |
August |
49880 |
46000 |
43600 |
32304 |
September |
49220 |
46710 |
43202 |
32517 |
October |
48870 |
46600 |
42904 |
31139 |
November |
48510 |
46760 |
39757 |
|
December |
48660 |
47210 |
38251 |
|
January |
47360 |
47470 |
39527 |
|
February |
46960 |
47820 |
39248 |
|
March |
46450 |
47520 |
39133 |
|
Prices on the basis of Mumbai Retail Price Source: JPC |
Fig in Rs per ton