The Indian induction furnace (IF) steel market maintained a volatile price range for the last week. Rebar (Fe 500) prices decreased from ₹42,700 to ₹39,500 per tonne, which could be attributed to weaker demand or increased supply pressure. At the same time, the price of raw materials increased. With sponge iron raised from ₹23,150 to ₹23,550 per tonne and billets from ₹36,600 to ₹36,850, suggesting tighter supplies and increased costs.

Buying interest improved day-on-day across sectors after a quiet period, lending some positive momentum to prices. However, finished steel inventory pressures restricted higher gains. The conversion spread between sponge iron and billets remained solid in major clusters such as Raipur, supporting standalone induction furnace economics.

Outlook:

Looking ahead, the outlook for Indian steel remains cautiously optimistic. While global oversupply and competition from imports are likely to curb the potential for the more robust price increases in the future, the persistent demand growth and the policy support elements to the landscape give one a solid basis for both near-term stabilization and long-term growth opportunities.