STOCK MARKET BSE NSE

India's Steel Imports Surge in March After Four Months of Falls

India\'s steel imports rose 18% in March snapping four straight months of falls provisional government data showed.

Published: 06th April 2016 02:10 PM  |   Last Updated: 06th April 2016 02:10 PM   |  A+A-

NEW DELHI: India's steel imports rose 18 percent in March, snapping four straight months of falls, provisional government data showed, on the back of deals struck before the government imposed a floor price in February to curb cheap imports.

Last week, the government extended safeguard taxes on some steel products until March 2018, and in February imposed a floor price on imports to deter countries such as China from undercutting local mills, the first such move in more than 15 years.

India, the third-largest steel producer in the world, shipped in 994,000 tonnes of the alloy last month, 18.2 percent higher than the corresponding month a year earlier, data from the Joint Plant Committee of the steel ministry showed.

"Some steel could have been booked in January and February. This is probably what has arrived in March," said Goutam Chakraborty, an analyst at Emkay Global Financial Services.

"Imports are likely to decline again in April and May," Chakraborty added.

Imports rose 20.2 percent in the fiscal year ended March 2016 compared with the same period last year, the data showed. Imports were up 9.1 percent compared with February. (https://bit.ly/1MRxHzh)

Domestic steel makers including JSW Steel <JSTL.NS>, Tata Steel <TISC.NS> and Kalyani Steels <KLSL.NS> have lobbied the government for more protectionist measures as margins have taken a hit due to cheap overseas purchases from China, as well as Russia, Japan and South Korea.

Consumption of steel, in the only major market where steel demand is growing, rose 4.3 percent between April 2015 and March 2016, largely driven by imports.

Steel exports by Asia's third-largest economy fell 32.4 percent at a time when the United States has named India among countries that violated anti-dumping law on cold rolled flat products and slapped a tax.

The following table shows steel production as well as trade data. Figures are in million tonnes. Some numbers have been rounded off.

Stay up to date on all the latest Business news with The New Indian Express App. Download now

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp