The weekly Davis Index for P1020 fell by Rs4,500/mt ($321.13/mt) to Rs138,088 /mt ex-works India consumer on Monday, from Rs142,588/mt. Prices declined driven by a $16/mt fall in LME spot aluminium prices to $1,693/mt on Feb 7 from the prior week.
Primary aluminium producers reduced prices of products on Feb 5 and Feb 6 in line with a continued fall in LME spot aluminium prices since Jan 29. Balco reduced prices of P1020 by Rs3,500/mt to Rs138,250/mt on Feb 5 from Rs141,750/mt on Jan 30. Hindalco reduced prices of P1020 by Rs,3,500/mt to Rs137,750/mt on Feb 5 from Rs141,250/mt on Jan 30.
With production in China, the world’s largest extrusion supplier, coming to a standstill amid the Coronavirus outbreak, Indian extrusion makers could have filled in the void in seaborne markets. These extrusion makers, however, did not witness any uptick in export demand.
In Indian domestic markets, demand from Office Equipment Manufacturers (OEM) remained healthy. OEMs who use extrusion as their raw material have ramped up their production to meet annual targets before March 2020.
In other domestic markets, the weekly index for CG99.5 fell by Rs3,373/mt to Rs137,665/mt ex-works Indian producer. The index for ADC12 settled at Rs142,136 /mt, down by Rs3,300/mt from the prior week. The index for EC rod dropped by Rs3,367/mt and settled at Rs143,526/mt.