Rebar inventories with Indian primary mills have reported to have lowered by close to 38% M-o-M in Jan. According to data compiled by SteelMint, Re-bar inventories with the major mills like SAIL, Vizag Steel, Tata Steel, JSW Steel and JSPL have lowered to around 2,30,000 MT in Jan’20 against 3,70,000 MT in Dec’19 and around 510,000 MT in Nov’19.
These five mills produced around 13.503 MnT bar & rod in FY19 which is about 35.62 % of India’s total bar & rod production.
Yesterday, SAIL announced 35% rise in sales during the month of Jan’20 over corresponding period last year (CPLY). In Jan’20, SAIL recorded 16.59 lakh MT of sales.
Monthly average rebar price assessment of primary players maintained at SteelMint increased by INR 3,000/MT M-o-M in Jan’20. Mills had increased prices amid falling inventories. SteelMint’s price assessment for rebar (12mm) stood at INR 39,000-39,700/MT ex-Mumbai towards end of last week, however significant trades were not reported at increased offers.
How did it impact Primary mills rebar offers for Feb’20 ? Considering improved domestic demand, falling inventories, primary mills have increased rebar offers for Feb’20.
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