Market participants shared with SteelMint that , Rebar prices in Nepal continue to surge amid higher raw material cost coupled with improved demand in domestic market.
The producers in Birgunj, Nepal stated that, “due to expected boom in construction activities post Holi festival, the stockiest are active and are booking huge material with an anticipation that steel prices to increase further once demand improves.”
The fresh offers for commercial grade rebars are reported at around NPR (Nepalese Rupee) 72,000/MT (INR 45,100/MT or USD 695/MT).
Moreover, the prime brands are offering same size rebars at NPR 75,000-76,000/MT (INR 47,000-47,600/MT or USD 724-734). The prices mentioned above are ex-works, size 10-20mm and excluding value added tax (VAT) at 13%.
According to the re-rollers, Biratnagar, in the end last week induction grade billet purchase saw an increase price of USD 510-515/MT ex-mill, India.
The manufacturers in Durgapur, East India also confirmed healthy export deals for Nepal during last week, for Induction grade billet at USD 512-515/MT ex-mill.
Further, the Wire rod being sold by the Durgapur based producers is at USD 600/MT (ex-mill) for 5.5-6.0mm. On CIF Nepal basis it will cost at around USD 625-630/MT. The large producers offers have reported at around USD 700/MT CIF (Indo-Nepal border).
The exporters reported that there is rake issue for Nepal due to this small lots are aggressively booked by Nepalese mills for Wire rod & Billet to full fill their requirements amid better sales.
It seems that the Nepal’s import for Billet & Wire rod may reach record high in the coming month’s as deals are frequent. Also, as the Nation’s steel makers are raising rolling capacities there is need to imports healthy volume of raw materials.
Nepal annually produces is more than 2.0 MnT of Finished steel for which the Nation’s billet import from India in Calender year 2017 are recorded at 1,117,328 MT. Prior to this in 2016 it was at 1,109,791 MT.
Leave a Reply