Steel producers roll back price hike

05 Mar 2007

New Delhi: After a meeting with steel secretary R S Pandey in New Delhi, major steel producers, including SAIL and Tata Steel, Rashtriya Ispat Nigam Ltd, Essar Steel, Ispat Steel and JSW Steel have agreed to roll back the price hike of 1 March.

According to Pandey, steel producers had described the hike as a routine adjustment occurring on the first of every month based on domestic and international fluctuations.

Pandey told the media that in view of the government's concerns over inflationary trends in the economy, steel producers had agreed to roll back the increase announced on 1 March.

The steel secretary said that the profitability of steel companies would not be affected by the reduction.

The prices of HR coils have been reduced to Rs27,000 per tonne from 27,500 per tonne. The increase in prices of TMT bars and galvanised steel would be rolled back entirely or about 100 per cent.

Pandey also told said that the government had ruled out the appointment of a regulator to check steel prices in the domestic market. He said as and when concern was voiced on any issue, the matter is taken up with the relevant authorities.