Steel products' prices raised up to Rs 2,000 per ton: third increase in a row in 15 days by PSMC

The country's largest steel producer - Pakistan Steel Mills Corporation (PSMC), for the third time in last 15 days, on Wednesday raised prices of steel products upto Rs 2,000 per ton. Traders told Business Recorder on Wednesday that this is the third increase in the steel prices during the current calendar year, as the corporation has already announced two increases on January 22, 2011 and February 4, 2011.
Prices of steel products are gradually escalating in the international market, however the PSMC management was reluctant to rationalise prices with world market, as a corruption case relating to steel prices is already under investigation by court of law.
Despite two times increase, prices of Pakistan Steel were still less than the international market rates, therefore, another raise has been announced by the corporation, they added. "We were already expecting some more increases in prices of PSM products, as still the world steel market is witnessing upward trend," dealers said.
They said that PSM has raised prices of Hot Rolled Coils, Cold Rolled Coils and Galvanised Products by Rs 500 to Rs 2,000 per ton. It also raised price of HRC by Rs 1500 to Rs 2,000 per ton and with current surge, the price of hot rolled products from 2mm to 2.35X100/1220 has mounted by Rs 2, 000 per ton to Rs 79,855 per ton (incl. sales tax and CED). Over 2.35 upto 3.25 mm HRC price has been increased by Rs 1500 per ton to Rs 78,204 per ton.
In addition, with an increase of Rs 1,500 per ton prices of over 3.25 upto 3.65mm HRC has reached Rs 77,722 per ton including all taxes. Prices of upto 3.65 to 4 mm, 4 to 5 mm and 5 to 6 mm hot rolled has surged by Rs 1500 per ton to Rs 77,120 per ton, Rs 76,517 per ton and Rs 76,156 per ton, respectively, in domestic market including taxes.
Similarly, PSM has raised the prices of CRC by Rs 500-1,000 per ton and after current surge the prices of CRC have reached Rs 94,954 per ton (incl. sales tax and CED). The prices of over 1.00 up to 1.2x195/1220/950 cold rolled has been increased by Rs 1,000 per ton to Rs 73,500 per ton as compared to Rs 72,500 per ton (excluding taxes). Similarly, with an increase of Rs 500 per ton price of CRC over 0.55 up to 0.60 X950/1220/950 have reached Rs 78,800 per ton from Rs 78,300 per ton (excluding taxes) in domestic market. Prices of all types of GP have risen by Rs 500 per ton to maximum Rs 100,979 per ton including taxes.