DI Pipe Demand Soars Ahead of Monsoon; Prices Hold Steady

Key Takeaways

• DI Pipe Demand Surges: 100mm and 150mm sizes are heavily booked due to pre-monsoon project planning.
• Lead Times Rising: MS Spiral pipe deliveries are delayed due to slow raw material rolling.
• Stable Prices For Now: Despite demand, prices for DI, ERW, and HDPE pipes are holding steady.
• Procurement Tip: Contractors should secure orders now to avoid shortages and price hikes post-monsoon.

Pipes Prices 

• 100mm K7 DI Pipes: Rs 1200-1250
• 100mm K9 DI pipes: Rs 1400-1450
• ERW:
• 25nb- 100 nb: Rs 55,000 (ex Raipur; secondary market)
• 25nb -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

• There has been a noticeable increase in demand for Ductile Iron (DI) pipes, particularly in the smaller diameters—100mm and 150mm. Most manufacturers are currently fully booked for these sizes, as contractors are attempting to secure bulk quantities ahead of the monsoon season. Despite the surge in demand, prices have remained stable, with no significant upward movement observed yet.
• Similarly, the supply dynamics for MS-Spiral Pipes are facing pressure. Lead times are extending, primarily due to delays in rolling raw materials, which is slowing down production cycles. While suppliers continue to accept large volume orders, they are cautiously highlighting potential delays in deliveries owing to raw material bottlenecks.
• On the procurement side, larger orders are predominantly being secured directly by manufacturers, reflecting confidence in long-term pipeline demand. Departments such as Maharashtra Jeevan Pradhikaran (MJP) and Jal Jeevan Mission (JJM) have gradually released funds to resume pending infrastructure and water supply projects, adding momentum to the pipeline sector.

Additional Market Insights:

• HDPE pipe suppliers are also witnessing a slight uptick in inquiries, especially from rural and municipal projects, though price fluctuations are minimal due to steady polymer rates.
• Contractor sentiment remains optimistic, with many trying to lock in pricing and availability now, anticipating potential logistics and transport challenges once the monsoon sets in.
• Raw material prices (e.g., HR coils for MS pipes) remain volatile, and any sudden movement could impact finished pipe prices in the upcoming quarter.
• Stock levels across yards and depots are thinning, especially for fast-moving sizes, indicating strong project-driven offtake and possibly tighter availability in June–July.

Pipes News

• Welspun Corp’s total consolidated global order book has now reached INR 19,300 crore, reflecting robust demand for its pipeline solutions across international markets.
• APL Apollo Tubes Limited  has  planned to invest around INR 1500 crore over a period of next 3 years to increase the overall capacity from 4.5 million MT to 6.8 million MT.
• Venus Pipes & Tubes has secured an INR 190 crore order from one of India’s leading integrated power plant equipment manufacturers for stainless steel seamless boiler tubes.

Expert Opinion

Contractors are strongly advised to complete procurement before the monsoon, as demand has already spiked. Prices, though currently stable, are likely to trend upward if the current booking momentum and raw material constraints continue. Early action can help mitigate risks related to both availability and cost escalation in the coming months.