Steel Prices Going Down, Spirits Going Up!
The car manufacturing sectors bewildered by the rising steel prices have now got a breather. The steel prices have been cut by Rs 500 - Rs 1000 per tonne due to the steel minister Ram Vilas Paswan. The roll-back in prices has come into effect from Feb 15.
I think that this will come as good news for car manufacturers in India, not to mention share holders like me in steel. It will also help many more foreign car companies to turn India into their manufacturing hub. Car manufacturers, who have citied rising input costs as a major cause of worry, can now relax for some time.
I hope the steel prices are contained for another few years and excise duty is reduced to encourage production volumes. The car companies, in turn, should pass on these benefits to the consumers and their share holders.
Article Submitted by AK
Labels: Car manufacturing, Foreign cars, steel
1 Comments:
I wish that the benefits is passed on to the consumer. But i have never seen that happening.
It is only when costs go high that the consumer is made to pay.
Else thy will keep the extra profits and show them as good performance in balance sheets.
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