As the Financial Year draws to close in a week’s time the Indian steel mills have broken all barriers in a bid to reduce inventory. Stoically silent demand doesn’t augur well for profitability nonetheless at least minimizing cost and settling for lesser pie is acceptable.
It is learnt that steel majors have been doling out discount in the range of INR 500 per tonne to INR 1500 per tonne depending on off take and payment terms.
Contrary to the pompous talks let off by these mills about growth in steel demand and the immense potential reality is equally damning. Meager 4% growth is likely in contrast to 5.5% growth recorded in the last fiscal preceded by 9.9% and 13.3% growth levels seen in fiscal 2011 and 2010 respectively.
A decrepit market saddled by credit crunch and lack of confidence in infrastructure and construction wagon wheels of steel consumption is clueless about any turnaround. Reportedly INR 700,000 crore worth of project currently stalled due to administrative clearances there seems little hope in the short term as the country plunges in political uncertainty.
EN10025(93)S355J2G3 steel is a low carbon, high tensile strength structural steel which can be readily welded to other weldable steel. With EN10025(93)S355J2G3 steel low carbon equivalent, it possesses good cold-forming properties. EN10025(93)S355J2G3 steel is produced by fully killed steel process and supplied in normalized or controlled rolling condition.
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