Structure Steel Prices Hold Firm as Public Sector Demand Rises

Key Takeaways

• Primary Prices Stay Firm: Strong project demand and rising input costs are keeping primary structure steel prices stable to rising across major cities.
• Secondary Market Gains Momentum: Moderate restocking and steady fabricator demand are pushing stable pricing in Raipur, Hyderabad, and Chennai.
• Freight Costs Drive Sourcing Decisions: High logistics costs are prompting buyers to prioritize mill dispatches from nearby zones.
• Import Duty Verdict Looms: A mid-April decision on a proposed 12% safeguard duty could support domestic prices and reduce imports.
• Public Sector Boosts Demand: Rail, metro, and highway tenders are fuelling high offtake, especially in North and Central India.

Structure Price Update

• Primary Market (Base Prices for 100x50 Channel):
• Durgapur: Rs 53,100
• Chennai: Rs 57,400
• Vizag: Rs 56,500
• Mumbai: Rs 56,800
• Ghaziabad: Rs 55,800
• Secondary Market Prices (Base Prices for 100x50 Channel):
• Raipur: Rs 48,900
• Hyderabad: Rs 50,700
• Raigarh: Rs 48,200
• Chennai: Rs 50,500
• Mandi Gobindgarh: Rs 50,900
• Durgapur: Rs 48,600

Structure Demand and Supply

• Primary Market: The structural steel market continues to firm up, supported by sustained project execution and steady infrastructure-driven demand. Major mills are operating at full capacity with extended lead times, especially for ISMBs, channels, and RHS/SHS sections.
• Price stability is observed across regions, with upward momentum in Durgapur, Vizag, and Mumbai. Rising energy and coal costs are contributing to consistent price hikes. Traders and institutional buyers are actively locking in volumes to mitigate potential cost escalations.
• Secondary Market: Markets such as Hyderabad, Raipur, and Chennai are witnessing stable to firm pricing, driven by moderate restocking and continuous movement of key SKUs. Demand from fabricators and project sites remains steady, and secondary producers are aligning dispatch cycles to match buyer urgency.
• Despite volatility in freight, secondary players are benefiting from zone-wise demand clarity and improved order conversion for beams, angles, and medium channels.

Structure Market News & Updates

• Import Duty Verdict Expected Mid-April

The industry is closely watching the government’s decision on the proposed 12% safeguard duty on steel imports. If implemented, the duty is expected to provide further price stability in the domestic market by discouraging low-cost imports.

• Freight Costs Remain Elevated

Rising fuel prices and limited trucking availability are keeping logistics costs high. This is prompting some buyers to prioritize mill dispatches from closer zones to manage landed costs and reduce delays.

• Public Sector Demand Accelerates

Major railway, metro, and highway tenders released in Q1 FY26 are translating into strong structural steel offtake, particularly in Northern and Central India. Mills are reporting allocation pressure, especially for heavy and customized sections.

Expert Opinion 

• Secondary Market: Maintain agile inventory cycles with a focus on fast-moving items like flats, angles, and medium channels. Monitor regional pricing and dispatch timelines to capitalize on short-term gaps. Freight efficiency is becoming a key driver for procurement decisions.
• Primary Market: Mill bookings should be secured promptly to lock in current pricing. Anticipate continued lead time delays; build buffer into procurement schedules. High-demand profiles (ISMBs, channels, hollow sections) are likely to face allocation pressure—plan forward coverage.

Recommendations

• Primary Market Participants: Advance bookings are strongly advised amid firm prices and stretched mill delivery windows. Monitor project pipelines and adjust procurement volumes proactively.
• Secondary Market Buyers: Focus on volume rotation of high-demand SKUs with short turnaround. Explore local sourcing options to mitigate freight impacts.
• Traders & Fabricators: Stay updated on potential policy changes regarding steel imports. Leverage price stability and steady demand to negotiate smart, region-specific buys.