New Delhi, July 3: Steel makers today agreed to cut prices of steel pipes and tubes by 10 per cent and reduce the export of hot-rolled coil to increase its local supply.

“Steel pipe and tube manufacturers have agreed to reduce prices by 10 per cent,” steel secretary R.S. Pandey told reporters after a meeting with producers.

Last month, the government had imposed duties on the export of iron ore, steel bars and steel rods. Prices of steel, fuel and food have pushed up inflation to double-digit levels. The government has been repeatedly asking firms to cut prices and lower exports.

“These measures have been taken to help contain inflation,” said Sajjan Jindal, managing director of JSW Steel.

The move will help lower exports by 30-40 per cent, he said. Steel exports are down by a million tonne in the first quarter of this fiscal compared with 1.3 million tonnes a year ago. Producers have also decided to print the maximum retail prices for all products to ensure consumers are not overcharged.

Jindal said producers, who had decided in May not to raise prices for three months, might extend the freeze for some more time.

In May, producers had rolled back prices by Rs 4,000 a tonne as well as taken the decision to freeze them till July. However, at the retail level, prices were allowed to rise as many producers had cut back on retail margins allowed to dealers.

The average price of hot-rolled coil, an intermediate product, rose to Rs 47,331.25 a tonne in mid-June from Rs 43,458.33 a month ago, according to government data.

The government today met all primary steel producers and discussed the price situation. Among those present were Steel Authority of India Ltd, Rashtriya Ispat Nigam Ltd, Tata Steel and JSW Steel.

Jindal said that the availability of steel would go up 5 million tonnes this year because of a fall in exports and capacity addition by producers.

Last year’s steel exports were at 4 million tonnes. Analysts estimate exports to reach only 2.5 million tonnes this year.