DI Pipe Bookings Surge; Price Hike Likely Soon

Key Takeaways

• Pipe Prices Steady for Now: DI pipe and ERW/MS pipe prices remain stable, though demand-side pressure could drive them up soon.
• Small-Dia DI Pipe Demand High: Contractors are booking 100mm–150mm DI pipes in bulk to prepare for monsoon deadlines.
• Liquidity Eases Slightly: Partial government fund releases have helped the market, though working capital remains tight for many.
• Jindal & Ashirvad Expand: Both firms are investing in capacity and innovation to tap into growing domestic and export markets.
• Price Rise Expected Soon: With rising demand and limited supply, pipe prices are likely to increase—finalize purchases early to save.

Pipes Price:-  

• 100mm K7 DI Pipes: Rs 1200-1250
• 100mm K9 DI pipes: Rs 1400-1450

ERW :  

• 25 nb-100 nb: Rs 55,000 (ex Raipur; secondary market)
• 25 nb-100 nb: Rs 61,000 (ex Raipur; primary market)

The current price of HDPE (High-Density Polyethylene) 

• Polymer Grains cost: Rs 93/ kg
• Conversion cost: Rs 10/ kg

Pipes Demand & Supply

Demand for pipes has seen an uptick as contractors rush to place large orders ahead of the monsoon, with several major infrastructure projects resuming. This has led to manufacturers being fully booked for smaller diameters like 100mm and 150mm DI pipes. Liquidity in the market has improved slightly due to partial fund releases by the government, enabling smoother transactions for traders and suppliers. 

On the supply side, manufacturers have kept prices stable despite rates being at their recent lows, as overall demand still lags behind 2023–24 levels. However, with rising demand, there is a potential for price increases ahead. ERW/MS pipe rates have also stabilized after Rs 3–4 per kg price hikes, supported by consistent demand in that segment.

Pipes News

• Jindal (India) has announced its entry into the steel section pipes and tubes segment with a Rs 100 crore investment in its West Bengal unit. The company aims for a production capacity of 5,000 MT and anticipates revenue of Rs 315 crore by FY26. In a related development, Jindal has also received the Product Certificate of Conformity (PCOC) for supplying ERW pipes to Saudi Arabia, strengthening its global presence.
• Ashirvad Pipes, backed by Aliaxis, is expanding with new manufacturing units in Chennai and Hyderabad. With its Bangalore R&T center serving as a regional innovation hub, Ashirvad continues to enhance “Made in India” products through advanced design and engineering.

Expert Opinion

Market liquidity has slightly improved with partial fund releases, but several projects remain halted due to continued delays in government payments, leading to a shortage of working capital in the system. This funding crunch has kept pipe prices stable at their recent lows. However, with contractors pushing to close procurements ahead of the monsoon to ensure timely project execution, demand is expected to rise, potentially triggering a price increase. Manufacturers are already booked for smaller dia DI pipes (100mm, 150mm), and ERW/MS prices have stabilized after multiple hikes, supported by steady demand. It is advised to finalize any pending procurements at the earliest to avoid cost escalations.