India: Primary Producers increased TMT Offers for Mar’14

Low inventory of the material (TMT) has made Primary steel producers to lift TMT offers.  Few companies have raw material shortage while few have good export orders which have led to push up the offers.

Primary Re-bar producers have raised offers by INR 500-1,000/MT for March, 2014. Above average demand and material shortage made them to move offers northward.

• RINL, an Indian Government owned steel producer based in Visakhapatnam has moved up its TMT offers by INR 1,000/MT.
• SAIL, one of the largest state owned steelmaking companies has increased Re-bar offers by INR 500-1,000/MT for various sizes owing to shortage of raw material and low inventory.
• Tata Steel, an Indian multinational steelmaking company has raised its offer upto INR 500/MT.
• JSW, India’s leading integrated steel producer has increased its TMT offer by INR 600/MT as it has large export order.

During the conversation, a JSW TMT dealer said, “Owing to low inventory TMT offers increased for this month. JSW has to export 60,000MT TMT till Mar’14. The company is not taking domestic orders so that it can fulfill export orders till Mar’14.”

Primary 12 mm TMT Offers in all Major Cities:

ED included Price in INR/MT, VAT Extra

Whereas, offers for secondary TMT this month are more or less same across the country compared to last month average traded price except Hyderabad. In Hyderabad, TMT offers moved up by INR 700/MT in week’s time owing to power cut in the city. 20 mm TMT offered at around INR 34,500-34,700/MT (Basic price).