As per the re-rollers in Nepal, local steel demand still continues to have slowed down in the country. Hence purchases of billet from India have come down after frequent bulk bookings made during 1st half of Nov’19.
Notably, the local rebar prices in Nepal steady which is hovering at NPR 59,000/MT (INR 36,900/MT or USD 514/MT); ex-works, size 12mm & excluding local taxes.
The suppliers in eastern India confirmed that, there are no further bulk bookings on hike billet export prices as most of the major mills in Nepal already have booked material. The export offers to Nepal have moved up by USD 5-10/MT in a week’s duration by Indian large & medium scale mills.
In addition to this it is also learned that, inventories with the Nepalese mills still healthy for the finished goods, as domestic demand is yet to pick in the country which was expected to gain momentum post festive holidays.
As per SteelMint’s assessment, earlier healthy orders of about 4-6 rakes of wire rod & 6-8 rakes of Billet have been registered at an average price of USD 445-450/MT & USD 400-405/MT, respectively, CPT Raxaul border. However the current offers floated are higher by USD 5-10/MT to USD 410/MT for Billet & around USD 455/MT for Wire rod, CPT Raxaul border.
Similar report being got from mid sized mills in Durgapur, eastern India. As per suppliers there was strong demand for billet at the price range of USD 380-385/MT, however in current offers of around USD 395/MT CPT Raxaul border, there are no such major deals were reported.
In line with this, wire rod export offers by mid scale mills reported at USD 450/MT CPT Raxaul border, Nepal.
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