The local steel mills in Dhaka & Chittagong, Bangladesh have currently maintained stable rebar offers. However, it is highly anticipated that the same would fall down in the coming days on account of lower domestic demand and falling prices of raw materials (melting scrap and sponge iron), SteelMint learned from its market sources.
The current rebar offers through the mid-sized mills in Dhaka, Bangladesh are reported at BDT 54,000-55,000/MT (USD 636-648); for 500 W, same as last week’s assessment. It is also reported that few small mills are offering around BDT 53,000/MT. The prices are ex-works, including local taxes & size 10-32 mm.
The rebar offers by large scale mills are reported at around BDT 61,500/MT (USD 724) ex-works Chittagong, including local taxes & size 10-32 mm, as shared by trade sources.
As per participants, the demand is less than average despite the peak season for construction activities. Thus, amid drop in raw material prices, the participants are assuming that the mills would cut the rebar offers in the future to improve buying inquiries.
On an average, the imported scrap offers to Bangladesh have declined by USD 40/MT & sponge iron by USD 15/MT since beginning of Jan’20. However, in this duration local rebar offers in Bangladesh dropped down to about BDT 1,000/MT (USD 12).
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