Hope floats in August

AUGUST 2021
EDITOR’S NOTE VOL X / ISSUE 02 / AUGUST 2021

With the second wave of the pandemic receding somewhat, economicactivities have resumed considerably, which offers scope for August tobe a better month in terms of production, demand and pricing. Output islikely to improve, especially from the secondary sector, which had beenworse off over the last couple of months.

There has been correction inraw material prices, which will encourage mills to resume production.Demand too is likely to be better in August, with lockdowns easing inmost states. Pent-up demand may get released, keeping in mind that themonsoon will start receding end-September.Semis and finished steel prices have shown an uptick. Prices will notperhaps decrease in the current month.

In fact, long products priceshave seen a slight uptrend with mills having liquidated inventory throughexports. Flat product prices may not have the facility to increase withend-user segments like automobiles and consumer goods still recoupingfrom lockdown woes, However, the trade-level rebates have beenwithdrawn.
Our cover story tracks India’s iron ore production and upcoming auctionsscenario.