Power cut and low inventory pushed up the TMT prices upto INR 1,800/MT in South India. In other regions, it raised by INR 200-300/MT on improved demand.
Ingot & TMT offers increased last week in the southern part of India, having totaled installed capacity of 5.1 MnT pa of Re-bar. Today, a positive day for TMT manufacturers as prices up by INR 100/MT and INR 300/MT in Hyderabad & Bangalore respectively.
Karnataka: Weekly two days power cut in Bangalore made Ingot & TMT manufacturers to upsurge their offers. MS Ingot & TMT prices have moved up by INR 800/MT and INR 1,500/MT W-o-W respectively.
“Low productions of Ingot & TMT in the city due to power cut and decreased TMT supply from Hyderabad because of increased rates have boosted offers in Karnataka.”
– A trader of Bangalore
Tamil Nadu: In Chennai, offers for Re-bar inched up by INR 1,800/MT in a week’s time owing to shortage of raw material.
“Ingot & TMT manufacturers of Chennai are struggling with shortage of Scarp which resulted in price hike of semi finish (Ingot up by INR 1,200/MT) and low inventory of TMT. However, a slight correction is anticipated as buyers may not absorb this hike quickly.”
– A trader based at Chennai
Andhra Pradesh: Looking the increased TMT rates in nearby states, Hyderabad TMT manufacturers have also made an increment of INR 400/MT W-o-W.
Other Parts of India: TMT offers in rest of the cities have stimulated by INR 200-300/MT as demand shows signs of improvement. Semi finish prices also remained at the same level. SteelMint learned from market participant that retailers are largely purchasing TMT to meet their year-end target. Similarly, project completions have also increased the demand. Many traders believe that prices may correct from April onwards.
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