India’s stainless steel market prices move up this week, supported by higher raw material costs and price hikes from domestic and global producers. However, local demand stayed weak due to monsoon disruptions and a festive season lull.
BigMint data showed that 304-series hot-rolled coils (HRCs) traded at Rs 189,500 per tonne (t) ex-Mumbai, marking a rise of Rs 2,500/t week-on-week (w-o-w). Prices of 304L black round bars (25–100 mm) increased by Rs 1,000/t to Rs 157,000/t. In the 316 series, HRCs climbed Rs 1,000/t to Rs 336,000/t, while cold-rolled coils (CRCs) held steady at Rs 338,000/t.
India’s top stainless steel coil maker raised prices from 20 August. It lifted 304 HRC and CRC tags by Rs 5,000/t (US $57/t) and 316 grades by Rs 12,000/t (US $138/t). Traders said this hike followed a sharp increase in ferro molybdenum and ferro nickel costs. A stronger US dollar also supported nickel.
Global sentiment also turned firm. Outokumpu, a major European producer, raised its September alloy surcharges. Its 304 series jumped US $48/t month-on-month (m-o-m) to US $2,192/t, while 316L surged US $112/t to US $3,725/t. The 430 series also moved up US $10/t to US $1,149/t. Industry leaders Aperam and Acerinox echoed these hikes. Market players believe this may improve Indian market sentiment.
Even so, domestic consumption stayed muted as seasonal factors slowed construction and industrial activity. Mills and traders expect demand to pick up before Diwali. Export sales of longs into the Middle East and Europe remained moderate and helped offset weaker local demand.
Meanwhile, secondary producers stayed under pressure with low-capacity use. Many small and mid-sized mills shifted to cheaper 200-series production using local scrap. Deliveries in Mumbai also faced delays due to heavy rainfall.
Nickel added further support. London Metal Exchange (LME) three-month nickel rose 1.5 per cent w-o-w to US $15,170/t. LME nickel stocks dropped 1 per cent to 209,148t. In China, portside nickel pig iron (NPI) stayed firm at RMB 917/t (US $128/t), while Indonesian FOB prices stood at US $116/t.
Raw materials showed mixed trends. Indian ferro molybdenum jumped Rs 57,000/t to Rs 3,100,000/t (US $35,324/t). Ferro silicon dropped by Rs 1,900/t to Rs 91,600/t (US $1,045/t) exw-Guwahati, with imports adding pressure. Prices in Bhutan eased slightly to Rs 94,000/t. Ferro chrome stayed range-bound at Rs 109,500/t (US $1,247/t) exw-Jajpur.
Scrap markets stayed weak. Imported HMS 80:20 at US $330–335/t CFR and shredded at US $360–365/t CFR failed to attract buyers as cheaper local scrap kept imports sidelined.
Looking ahead, India’s stainless steel market may remain range-bound in the near term. Higher global surcharges and rising alloy costs could support prices, but domestic demand must recover. Industry participants expect sentiment to improve before Diwali on restocking and stronger molybdenum and nickel values.
