Indian secondary rebar market observed limited buying inquiries from traders amid dull sentiments hovering in specified regions. This led to surge in inventories and increase in selling pressure as well in most of the locations. Hence overall price range of rebars have contracted by INR 100-400/MT (upto USD 6) except in southern India.
Trade activities in northern region remained still affected due to gain poor air quality and it will take considerable time to maintain the previous work and overall delayed would be around for couple of months, as shared by few builders and traders.
Another factor could be attributed towards home buyers complaints which should be directed to RERA instead of NCLT where whole construction works halted and delayed by months until any further resolution, shared by trade sources which is a recent concern from developers.
Further in western region – Maharashtra, where political situation has bothered tender activity along with basic approvals which used to be clear from certain windows gets hampered amid dull movement. Following this, the manufacturers have inched down their rebar offers by INR 200-300/MT due to limited trade volume in finished goods.
Similarly in Durgapur, eastern India where since couple of days trade activities slow down, which has put pressure on mills and the rebar price range pull down by INR 200-500/MT. However, the participants believe, once lifting will improve from traders end, prices will rebound due to seasonal factors as exports being supported in certain products.
However, southern India has shown a better response and rebar prices surged by INR 500-1,000/MT (USD 7-14) amid strengthening raw material i.e. melting scrap & billet but procurement is still not upto the mark in rebar and trade associated are not confident enough for near term direction whether increased price range of long steel products will sustain or not.
— As per SteelMint’s assessment, current trade reference rebar offers by mid scale mills hovering at INR 29,900-30,100/MT ex-Raipur, INR 30,800-31,200/MT ex-Durgapur, INR 31,500-31,800/MT ex-Jalna & INR 31,800-32,200/MT ex-Chennai, Grade- Fe500, excluding 18% GST & size 12 mm.
Trade Updates (Rebar 12 mm)
— Rathi Steels based in North region has unchanged their offers at INR 34,000/MT.
— Raipur based Real Ispat (GK TMT) has unchanged their offers at INR 33,300/MT.
— Raigarh based Scan Group branding(Shrishti TMT) is offering at INR 30,800/MT(down by INR 300/MT).
— Jalna based Rajuri Steel Pvt. Ltd.(Rajuri TMT) has unchanged their offers at INR 31,800/MT.
— Jalna based SRJ Peety Steels Pvt Ltd (Shree Om) is current offering at INR 31,900/MT.
— Gujarat based, Mono Steel (India) Ltd.(Mono TMT) has unchanged their offers at INR 32,700/MT FoR.
— South region Chennai based Ponneri Steel Ind. (Triple Power) is current offering at INR 32,000/MT.
Note- All prices are basic & excluding GST, subject to re-confirmation.
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