Steel stocks gain up to 6 pc after govt sets floor price

Steel stocks gained up to 6 per cent today as the government has imposed a minimum import price (MIP) on 173 steel products ranging between USD 341 to USD 752 per tonne.
The government's move has given domestic steel producers some relief against cheap in-bound shipments.
Shares of Bhushan Steel jumped 6.18 per cent, Uttam Galva Steels 4.30 per cent, JSW Steel 0.99 per cent and Tata Steel 0.19 per cent on BSE.
"Steel stocks extended gains after the government set floor price or minimum import price (MIP) on import of 173 steel products in a bid to restrict cheap steel import which would have had an adverse impact on the domestic steel industry," said Shreyash Devalkar, Fund Manager - Equities, BNP Paribas Mutual Fund.

The minimum price will remain in place for six months only.