Some media reports that appeared today said that Essar Steel (ESTL) has increased its prices by Rs.500-1000 per tonne.
The factual position is as follows:-
ESTL is fixing its prices on a quarterly basis and the last price was fixed effective 1st July 04 till 30th Sept. 04. Therefore, there is no question of any increase in price for all its regular customers during the quarter.
The prices of ESTL products have not changed since 1st March 04 and have been set at a base level of approximately Rs.25 per kg.
This in fact, means the prices of ESTL products have remained constant since 1st March 04 and will not change till 30th September 04.
However, it is true that in the retail / trade segments there have been changes in prices upto paise 50 per kg which is a function of the market and not of ESTL base price to its customers. In any case, ESTL sells less than 10% of its production to retail / trade segments.
There have been certain media reports that the prices have been increased 5 times during the current year, which are totally incorrect.
Media contact:
Corporate Communications:
Essar House, 11 K.K.Marg, Mahalaxmi, Mumbai 400034, India
CORPORATE
