Structure Prices Firm Across Regions; Primary Mills Signal Hike

Industry Updates

• Primary Prices Remain Strong: High demand from infra projects and tight mill schedules keep base prices elevated; further hike likely by mid-May due to rising input costs and active demand.
• Q2 EPC Contracts Drive Demand: Metro and power projects finalize Q2 procurement, lifting demand for ISMB 500+ and WPBs; mills increase output plans by 8–10%.
• Heavy Sections in Short Supply: EPC firms finalize contracts, driving demand for ISMB 500+ and WPBs, leading to tight supply and extended lead times.

Price Update

• Primary Market (Base Prices for 100x50 Channel):
• Durgapur: Rs 54,200/MT
• Chennai: Rs 58,400/MT
• Vizag: Rs 57,800/MT
• Mumbai: Rs 57,600/MT
• Ghaziabad: Rs 56,700/MT
• Secondary Prices (Base Prices for 100x50 Channel):
• Raipur: Rs 46,200/MT
• Hyderabad: Rs 48,000/MT
• Raigarh: Rs 47,100/MT
• Chennai: Rs 49,000/MT
• Mandi Gobindgarh: Rs 49,300/MT
• Durgapur: Rs 47,100/MT

Demand & Supply

• Primary Market

Order momentum remains strong across infrastructure and EPC segments, with sustained procurement for metro, airport, and power projects. Mills in Chennai, Vizag, and Mumbai are operating at peak capacity, quoting lead times extending into late May. Pre-bookings for heavy sections like ISMB 500+ and WPBs are aggressive, limiting spot allocations. With coal and sponge iron input costs firming up, mills signal another price revision by mid-May.

• Secondary Market

Restocking demand is upbeat in the South and Central belts, with traders focusing on mid-size structural SKUs. Fabrication activity has picked up post-election order flows, supporting higher yard clearances in Raipur and Raigarh. Raipur remains the most price-attractive source for secondary channels and flats, though slight freight escalations are noted in north-bound movement.

Market News & Updates

• EPC and Infra Contracts Finalized for Q2: Leading EPC and infrastructure players have finalized procurement contracts for Q2, securing volumes with both primary and tier-1 secondary suppliers. ISMB and WPB sections above 400mm are witnessing increased demand from metro and power transmission projects, creating regional shortages. Steel plants are adjusting output plans upward by 8–10% for May–June cycles. However, continued volatility in imported coal and ore markets is affecting cost structures.
• The Ministry of Steel is expected to release an updated long product demand forecast in the coming week, which could influence pricing trends further.

Expert Opinion

Secondary Market

• Focus SKUs: Maintain coverage on 75x40 and 100x50 channels, light equal angles, and 90mm flats.
• Buying Zones: Raigarh and Gobindgarh continue to provide optimal landed cost for medium-volume trades.
• Procurement Tip: Be agile with rotation cycles; lean heavily into fast-moving sizes to avoid holding costs amid pricing volatility.

Primary Market

• High-Traction Products: ISMB 500+, WPBs, and galvanized coil segments are moving fast—book in advance.
• Raw Material Watch: Freight costs from eastern coal belts and coking coal import premiums are both trending upward. Expect mills to pass these costs downstream.