Rollback of steel prices difficult, say producers (The Hindu Business Line 14th Feb 2008)The major domestic steel producers feel that the possibility of a roll back of the prices looks difficult in the current scenario of spiralling input costs.
“Looking at the prevailing scenario where the input costs are increasing every month, the call by the Government to roll-back prices seems unlikely. However, we feel that in the coming months there might not be such a drastic increase in the prices,” a company official told Business Line.
It is also learnt that the Steel Ministry has called for another meeting with the major producers on the issue on Thursday. The first meeting between Ministry officials and the major producers was held on Tuesday when the industry representatives presented their reasons on the recent increase in prices.
“On one hand, the Government is calling for a roll back in the prices, while their own PSUs, which supply the raw materials, are indicating a price hike in the coming months. So, with the input cost rising and expected to rise further how can we cut the prices,” another industry source said. More
“Looking at the prevailing scenario where the input costs are increasing every month, the call by the Government to roll-back prices seems unlikely. However, we feel that in the coming months there might not be such a drastic increase in the prices,” a company official told Business Line.
It is also learnt that the Steel Ministry has called for another meeting with the major producers on the issue on Thursday. The first meeting between Ministry officials and the major producers was held on Tuesday when the industry representatives presented their reasons on the recent increase in prices.
“On one hand, the Government is calling for a roll back in the prices, while their own PSUs, which supply the raw materials, are indicating a price hike in the coming months. So, with the input cost rising and expected to rise further how can we cut the prices,” another industry source said. More
Comments