Platts changes India domestic hot-rolled coil, rebar incoterms to ex-works

Following market consultation, Platts, part of S&P Global Commodity Insights, has changed the incoterm for its daily India domestic hot-rolled coil and rebar assessments from delivered to ex-works, effective Nov. 21, 2022.

The change aims to better reflect trading practice in India's domestic spot market. Platts has observed that spot market HRC trading activity from local distributors, dealers and traders is actively being undertaken on an ex-stock Mumbai basis, within the state of Maharashtra and neighboring states. Similarly, spot market rebar trading activity from secondary mills around the production hub of Raipur is primarily on an ex-plant Raipur basis across consumers based in different parts of India.

In line with globally accepted definitions, the ex-works incoterm represents a buyer assuming all costs and responsibilities involved with transporting goods from the named place of delivery, including the seller's factory, warehouse, service centre, office or any other distribution center, as well as loading the goods on the buyer's collecting vehicle.

Platts first proposed the incoterm change on Oct 3: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/100322-platts-proposes-to-change-india-domestic-hot-rolled-coil-rebar-incoterms-to-ex-works

The decision to implement the proposal was communicated in a subscriber note published Oct. 21: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/102122-platts-to-change-india-domestic-hot-rolled-coil-rebar-incoterms-to-ex-works

The assessments have been renamed as follows:

Previous
Revised

Code (Unit of measurement)

HRC India Domestic Delivered Mumbai
HRC India Domestic Ex-works Mumbai

TS01046 (Rupee/mt); TSIDD00 ($/mt)

Rebar India Domestic Delivered Raipur
Rebar India Domestic Ex-works Raipur

STRIA00 (Rupee/mt); STRIB00 ($/mt)

Existing specifications for quantity, dimensions, timing and payment terms remain unchanged.

The assessments are published in Platts Steel Alert, SBB Daily Briefing, Steel Markets Daily, Global Market Outlook, World Steel Review, Steel Price Report, Platts Price Analyzer and Platts Market Data Category SQ.

Please send comments and questions to pl_asia_steel@spglobal.com and pricegroup@platts.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make comments not marked as confidential available upon request.