Will Indian steel prices continue to rise in the next two years

India's steel prices may take at least two years to cool as demand continues to grow. In the current fiscal year, India's demand for steel is also expected to exceed its production. Although the demand in 2021-22 fiscal year will be between 140-150 million tons, India's steel production is expected to be about 125 million tons.

Although India's hot rolled coil (HRC) was traded at 58000 rupees per ton in April, the international steel price has been hovering around us $735-740 per ton since April 1, 2021. Domestic and international prices are 50% higher than the same period last year.

Most countries, including India, have announced stimulus plans. As a result, consumption has increased. These prices will not fall until the stimulus is exhausted.