CHANDIGARH: The rates of steel  Wednesday slashed in Punjab market by Rs 1,000-2,000 per metric ton (MT) following the alloy producers agreed to stop exports.

The prices are expected to roll back further in days to come, sources in steel industry said.

The sources of steel industry in Mandi Gobindgarh industrial town said that the prices have started rolling back because of the announcement by the Indian Steel Alliance that the steel producers would immediately stop steel export.

The induction furnaces however have temporarily stopped booking orders from the industry due to reduction in prices thus giving no immediate relief to small engineering units.

The prices of ingot have come down to Rs 38,500 per MT from Rs 39,800 per MT within a day. Similarly, the rates of Round (Saria) have fallen down to Rs 43,000 per MT from Rs 45,000 per MT. It is expected that rates would come down by another Rs.1000 to 2000 per MT.

Punjab, being a major producer of steel, has almost 200 induction furnaces and four arc furnaces spread across Mandi Gobindgarh, Ludhiana and Khanna.
    
Steel analysts were of the view that the induction furnaces were not accepting orders as they were waiting for further fall in steel prices.