Goyal said in India, particularly in Karnataka, iron ore is sold through e-auction. Since the availability is not increasing, the scenario will continue to be the same.
Indian steel industry does not import any iron ore, thus a price reduction may not have an impact, feels RK Goyal, MD, Kalyani Steel .
"In India, we do not have impact of iron ore prices and the reduction in coking coal and coke prices have been marginal," he said.
Also Read: China's steel sector poised for improvement: Platts
For China or other global players, their manufacturing cost will definitely come down, which may pose a short-term threat for higher dumping in countries like India, Goyal told CNBC-TV18's Ekta Batra and Reema Tendulkar.
He, however, feels this will get corrected shortly. "I feel this may be a short-term negotiation strategy of Chinese steel manufacturers. It is not sustainable," he said.
Metal stocks have seen the most correction in the past two days, though on Wednesday's trade most of them were stable. The iron ore prices have been at a 1.5-year low.
Goyal said in India, particularly in Karnataka, iron ore is sold through e-auction. Since the availability is not increasing, the scenario will continue to be the same.
He expects the domestic steel prices to remain stable up until elections as raw material prices globally are very low.
Speaking on the e-auction, he said the prices of lumpy ore in the last auction were around Rs 5,700-5,800 per tonne. "We definitely require more than 100,000 tonnes of iron ore per month and we are not able to procure that at the current prices. But we are able to operate our plant at around 60-70 percent capacity," he said.
Goyal said that next e-auction is likely in the next few days.
Speaking on the recent cartelisation issue raised by steel producers and iron ore miners, Goyal said the private iron ore miners have now reduced their price from unreasonable levels seen in late January.
Kalyani Steels stock price
On March 12, 2014, at 14:33 hrs Kalyani Steels was quoting at Rs 56.00, down Rs 0.35, or 0.62 percent. The 52-week high of the share was Rs 59.75 and the 52-week low was Rs 31.00.
The company's trailing 12-month (TTM) EPS was at Rs 10.90 per share as per the quarter ended December 2013. The stock's price-to-earnings (P/E) ratio was 5.14. The latest book value of the company is Rs 81.22 per share. At current value, the price-to-book value of the company is 0.69.
Anda sedang membaca artikel tentang
Iron ore prices do not have impact on India: Kalyani Steel
Dengan url
http://sehatgayahidup.blogspot.com/2014/03/iron-ore-prices-do-not-have-impact-on.html?m=0
Anda boleh menyebar luaskannya atau mengcopy paste-nya
Iron ore prices do not have impact on India: Kalyani Steel
namun jangan lupa untuk meletakkan link
Iron ore prices do not have impact on India: Kalyani Steel
sebagai sumbernya
0 komentar:
Posting Komentar