Indian Finish Long Steel Export Increases 48% in Q2 FY’20

Indian Finish long steel exports surged by 47.7% Q-o-Q in Q2 FY’20, as per the customs data maintained with SteelMint. Finish long steel export was recorded at 309,641 MT in Q2 FY’20 against 209,612 MT in Q1 FY’20.

Factors which have attributed towards strengthening finish long steel exports is low demand in domestic market amid liquidity issues resulting in high inventories with mills which pushed them to explore better export options in South Asian & Southeast Asian countries.

Average rebar prices in Q2 FY20 was reported at USD 476/MT CNF Singapore and Indian rebar average prices stood at Ex-Mumbai USD 435/MT by medium mills based in western India.

However, on monthly basis Indian finish long steel exports were registered at 82,492 MT in Sep’19, plunged by 28.6% as compared to 115,539 MT in Aug’19. Although on Y-o-Y basis exports surged by 36.2% in Sep’19 as against 60,546 MT in Sep’18.

Commodity wise - Rebar export was registered at 168,490 MT in Q2 FY’20 higher by 52% as against 110,847 MT in Q1 FY’20, followed by Structure stood at 61,792 MT in Q2 FY’20 (+54%) as compared to 40,111 MT in Q1 FY’20 and Wire rod export also surged by 35.30% to 79,359 MT in Q2 FY’20 against 58,653 MT in Q1 FY’20.

Country wise - Nepal stood as top importer of finish long steel from India during second quarter and registered at 109,279 MT in Q2 FY’20, rallied by 53.84% against 71,034 MT in Q1 FY’20 followed by Hong Kong - 97,222 MT in Q2 FY’20 (+225%) against 29,874 MT in Q1 FY’20 and Bangladesh 20,356 MT in Q2 FY’20 (+12.85%) as against 18,038 MT in Q1 FY’20.