SAIL, Tata Steel hike prices by Rs 2k per tonne

KOLKATA: Domestic steel majors Steel Authority of India (SAIL) and Tata Steel have hiked prices by up to Rs 2,000 per tonne with immediate effect on the back of rising demand. In a move that is likely to dampen spirits in the run up to the new year, SAIL, the country’s largest state-owned steel company, said on Thursday that it has decided to withdrawn discounts and rebates with immediate effect.

Tata Steel too has raised prices on long products by up to Rs 2,000 per tonne. Incidentally, the development comes days after the two companies indicated they could look at revising prices upwards in January 2010.

“We have decided to withdraw discounts of Rs 700 per tonne on flat steel products and Rs 1,500 on long steel items,” a SAIL spokesperson said. Tata Steel also jacked up prices of its long steel products by about Rs 2,000 a tonne. “The hike is from immediate effect. We have not revised our flat steel prices,” a spokesperson of the company said.

Long steel products are mainly used by infrastructure and construction sectors while flat ones are used by consumer durables industry.