Why would steel come as pickled and oiled?

I would guess that it's because pickling removes mill scale and oiling helps prevent rust.
 
I don't know the official industry standard for pickling, but I do know that a 48 hour soak in regular white vinegar really helps make mill scale a lot easier to grind off. Doesn't seem to matter much if it's low- or high-alloy steel, it makes life easier.

I also know that PG means precision-ground and it's definitely worth a few bucks more per bar to buy it that way, if it's available. No scale, no pitting to grind away, just bare clean steel that's a dream to work with. You'll save more on belts and labor than what you pay extra for PG stock, every time.
 
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