Home / News / India /  Steel prices may rise from 1 July amid high input costs: JSPL MD
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Steel prices are expected to rise from July due to high input costs, an industry executive said on 29 June.

"While coal price is at 17,000 a tonne, iron ore prices by Odisha Mineral Corporation are still high. It is the main supplier of iron ore in Odisha," PTI quoted JSPL Managing Director V R Sharma as saying on the sidelines of an event organised by the Indian Chamber of Commerce in national capital.

"The prices have already bottomed out. There is no chance of reducing them further. There will be an upward price correction from Friday, July 1 by (primary players) mainly on account of higher input costs," he added.

ALSO READ: Tata Steel buys coal from Russia weeks after vowing to cut ties

Previously, the secondary steel makers have already increased the price of rebars by 2,000 to 55,000 per tonne in the last four days.

Elaborating on the various reasons for hike in steel prices, Sharma cited the lack of availability of coal, as racks are not available for the supply of coal as most of them have been diverted for power sector.

Steel players use iron ore as raw material to make steel and coal to feed their captive power plants.

According to SteelMint, prices of hot rolled coil (HRC) are ruling in the range of 59,000-60,000 a tonne from its peak in May at 76,000/tonne.

Earlier on 21 June, report arrived that Tata Steel imported about 75,000 tonnes of coal from Russia in the second half of May.

In April, Tata Steel had said all its manufacturing sites in India, the UK and the Netherlands had sourced alternative supplies of raw materials to end its dependence on Russia. However, the firm shipped about 75,000 tonnes of PCI coal, used in steelmaking, from Russia's Vanino port in May. Out of 75,000 tonnes, 42,000 tonnes were offloaded in a port in Paradip on May 18 and 32,500 tonnes in Haldia, reported Mint.

With inputs from PTI.

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