Steel Index On Steady Mode as Raw Material Prices Rise

Steel Index On Steady Mode as Raw Material Prices Rise

Recovery After July Slump

India’s steel composite index is showing a steady recovery after a weak July. The rebound is driven by firmer raw material prices, stronger domestic demand, and tighter supply conditions.

Raw Materials Drive Price Support

Iron ore prices in Odisha have strengthened, with NMDC raising rates by ₹400–450 per tonne for August. Pellet prices also firmed, while coking coal remained stable. This cost push is encouraging mills to consider price revisions.

HRC and Rebar Prices Stabilize

Hot-rolled coil (HRC) prices have shown signs of recovery, with certain markets seeing marginal gains. Blast furnace (BF) rebar prices rose by ₹500 per tonne in Mumbai, reaching about ₹48,000 per tonne.

Mills Plan August Price Hikes

Steel producers are eyeing price increases of ₹1,000–1,500 per tonne for August. Factors such as higher input costs, planned production shutdowns, and the approaching end of the monsoon season are expected to support the hike.

Positive Market Outlook

With raw material prices firming and supply tightening, India’s steel index is on an upward trajectory. The combination of cost support and improving demand signals a stronger market in the coming weeks.