For the second month in a row this fiscal year, India was a net importer of steel in November, with imports totaling 600,000 tones. This trend is symptomatic of a global slowdown in the metal cycle and ongoing pressure on the price of domestic products. According to a report from the Steel Ministry that was able to see, imports of finished steel increased 92% on a year-over-year basis and outweighed exports by 262,000 tones. In November, 338,000 tones were exported. Non-alloyed, alloyed, and stainless steel are all types of finished steel products. After July and October of the current fiscal year, this is the third month in which India has been a net importer of finished steel. Imports increased by more than 1% from one month to the next. Shipments reached 593,000 tones in October.
“As more traders began to consider imports, domestic prices were higher than the landing price of imports. Additionally, some older orders are coming in, which is causing a ramp-up in shipments. The majority of these were scheduled earlier this year and are finally arriving. Due to the global downturn and the ex port levy, Indian exports also stopped, raising the price of steel sold outside, according to one exporter. India began removing export taxes on November 19 (after it was imposed in May). However, because it occurred “very late in the month,” there was no appreciable increase in sentiment or export orders, according to individuals in the know.
However, India continued to be a net exporter of steel for the eight-month period (April to November). Exports were 42,99,000 tones, while imports were 37,51,000 tones. In November, non-alloyed steel imports increased by 13% to 391,000 tones, according to the Ministry data. The segment was responsible for 65% of the incoming shipments. The main steel product that India exports is non-alloyed steel, although the downstream sectors are dependent on imports of cold-rolled and coated steel products. However, November showed a 64% year-over-year increase in alloyed and stainless steel offerings, reaching 210,000 tones.