Primary Structure Prices Firm on Bulk Orders, Secondary Sees Smart Sourcing

Key Takeaways

• Primary prices strong across metros: Ranging from Rs 54,200/MT in Durgapur to Rs 58,400/MT in Chennai, supported by infrastructure demand and tight mill slots.
• Secondary market actively restocking: Prices hover between Rs 47,000–Rs 50,200/MT; fabricators and retail yards are driving volume.
• Lead times stretch into June: ISMBs and WPBs in high demand, causing supply constraints and forcing early booking for large projects.
• 15% YoY demand spike in April: Driven by affordable housing and infra growth under PM Gati Shakti and new NICDC corridors.
• Primary price hikes likely: If freight and coal costs persist, another Rs 300–Rs 500/MT increase may occur in the coming weeks.

Structure Price Update

• Primary Market (Base Prices for 100x50 Channel):
• Durgapur: Rs 54,200
• Chennai: Rs 58,400
• Vizag: Rs 57,800
• Mumbai: Rs 57,600
• Ghaziabad: Rs 56,700
• Secondary Market Prices (Base Prices for 100x50 Channel):
• Raipur: Rs 47,000
• Hyderabad: Rs 48,500
• Raigarh: Rs 48,000
• Chennai: Rs 49,500
• Mandi Gobindgarh: Rs 50,200
• Durgapur: Rs 48,000

Structure Demand & Supply 

Primary Market

• The primary structural steel market remains firm and optimistic, driven by strong demand from infrastructure, metro rail, and state-backed housing projects.
• ISMBs and WPBs continue to face tight supply, with lead times now extending into late May or early June for bulk orders.
• Price hikes of Rs 500–Rs 800/MT have gained traction in most regions due to consistent order flow and elevated input costs.
• Vizag, Chennai, and Mumbai remain demand hotspots, with institutional buying leading the momentum.
• Mills are prioritizing repeat buyers and fast-moving SKUs while managing constrained production slots.

Secondary Market

• Secondary steel continued restocking by retail yards and aggressive procurement by local fabricators.
• Healthy turnover in medium channels, flats, and angles.
• Transport-related delays in Raipur and Telangana are easing, though logistics remain under close watch.
• Secondary producers are focusing on maintaining delivery timelines and buyer retention through zone-level supply control.

Structure Market News & Updates

India’s structural steel demand surged 15% year-on-year in April, fueled by ongoing infrastructure rollout under the PM Gati Shakti plan and robust activity in the affordable housing sector. The Ministry of Steel attributes the growth to sustained government capital expenditure and urban development. The NICDC’s announcement of three new corridors in Gujarat, Maharashtra, and Tamil Nadu is expected to generate an additional Rs 3,000–4,000 crore in structural steel demand in the coming quarters.

Expert Opinion

Secondary Market 

• Prioritize Fast Movers: Medium channels, light angles, and flats are moving fastest. Ensure liquidity.
• Source Smartly: Raigarh and Mandi Gobindgarh are offering good availability with margin opportunities.
• Curb Overstocking: Limit exposure in heavy RHS and slow zones. Match stock with confirmed project cycles.

Primary Market

• Book Ahead: With raw material costs rising and supply windows tightening, pre-booking is advisable.
• High Demand for Heavy Sections: 400mm+ ISMBs and WPBs are under pressure. Procure early to avoid disruption.
• Prepare for Further Hikes: Another Rs 300–Rs 500/MT increase is likely if freight and coal costs remain elevated. Plan accordingly.