Indian steel pipes fabricators to slash prices
RISING costs of raw materials such as iron ore is driving up the price of steel in most countries, but the Indian industry is going in the other direction.
Indian steel makers say they will slash the prices of steel pipes and tubes by 10%. This move is intended to combat domestic inflation.
The subcontinent’s steel exports have fallen compared to the levels seen in 2007. This has boosted local supplies and the government hopes it will stabilise the prices of the metal.
The government met with the companies and successfully persuaded them to lower prices in the face of the global trend upwards.
The Indian government has also vowed to take action against steel hoarding, which could drive inflation.
In 2007 to 2008, India’s domestic steel consumption rose by 10.7%, while production growth was slower at 5.1%. The extra need was met by 7.18m tonnes of imports.
4-Jul-2008
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