<article><p class="lead">Indian private-sector firm Jindal Steel and Power's (JSPL) increased its July steel sales by 5pc on the year and by 21pc from the previous month in response to higher export demand.</p><p>Total steel sales in July reached 0.67mn t, of which exports accounted for more than 40pc "due to high spot demand from international markets", the firm said. Total output rose by 8pc on the year to 0.65mn t.</p><p>Demand for steel in international markets is at its peak because of a surge in consumption in the infrastructure and manufacturing sectors as bigger economies rebound amid a slower spread of Covid-19 and higher vaccination rates.</p><p>"Despite [a] second wave of Covid-related disruptions, we are on track to achieve our annual target of 8.25mn t for FY22. Further, we are seeing Covid cases come down, which will give a major relief to the industry and our customers," JSPL managing director VR Sharma said. </p><p>A surge in Covid-19 cases in India during April-May stalled economic activity and halted operations at steel mills <a href="https://direct.argusmedia.com/newsandanalysis/article/2209019">amid restrictions on the use of liquid oxygen</a> needed for steel production.</p><p>"The effective vaccination campaign driven by the government of India will encourage workers to return to construction sites and help speed up manufacturing, which will likely to boost domestic demand," Sharma added.</p><p>The <i>Argus</i> domestic India hot-rolled coil (HRC) index was 65,500 rupees/t on 30 July, up by 82pc from a year earlier, while the <i>Argus</i> cfr Asean HRC index was $919/t yesterday, up by 90pc from a year ago.</p><p class="bylines">By Sumita Layek</p></article>
