Bhushan Steel may up prices

Bhushan Steel and Strips is mulling an increase in prices of cold-rolled coils by about Rs 1,000 per tonne, in line with increased hot-rolled steel prices following suspension of rebates by suppliers, a top company official said.

"The withdrawal of discounts is hurting us, and we are left with no option but to pass on the added cost to customers," the official said. Hot-rolled steel is a key raw material for manufacture of cold-rolled steel.

Earlier, hot-rolled steel makers, which had obliged to hold the price line, have cut rebates to customers, rendering the effective price Rs 1,000 higher.

Bhushan Steel. which supplies cold-rolled steel to companies including Maruti Udyog, Tata Motors and Samsung, sources part of its requirement of hot-rolled steel from the market, while manufacturing the balance at its plant in Dhenkanal, Orissa.