Due to increase in power tariffs by 16-20% in Raipur, wire market in Raipur has gained momentum.
Wire manufacturers in Raipur have increased their offers this week owing to hike in power charges. Whereas, Durgapur market remained dull with a decline of INR 200/MT W-o-W.
It was reported by a GI wire manufacturer that market will perhaps continue to rise till 10 June, but after that monsoon may again bring down the prices. Currently, prices of 12G GI wire and 12G barbed wire are fluttering in the range of INR 42800-43000/MT and INR 45000/MT respectively (prices including all).
Durgapur market is facing production cut due to summer season. Shortage of binding wire is being reported over there.Sources revealed, SAIL (IISCO steel plant, Durgapur) is offering 8 mm wire rod at around INR 35,800-36,000/MT. Some discounts are also being provided on the same. Competitive prices of primary manufacturers are creating pressure on secondary manufacturers.
Wire Rod Imports
Sources revealed that imported wire rod offers have remained same. Wire rod of 6.5 mm were offered at around USD 395-400/MT CFR Mumbai, for first week of June’15 Shipment, origin China. Wire Rod 5.5 mm is assessed at around USD 410/MT high by USD 10/MT from 6.5MM. Import duty 5% & CVD 12.5% and SAD extra.
Future Outlook
Wire manufacturers in Raipur as well as Durgapur do not see much rise in prices in future. The market is predicted to go down due to weak buying by end users. Also the sudden price rise in Raipur will create selling pressure in the market.
Indian Billet and Wire prices
|
City |
MS Billet | W-o-W Change | 5.5 mm Wire Rod | W-o-W Change | 12G HB Wire | W-o-W Change | 20G Binding Wire |
W-o-W Change |
| Raipur | 25,700 | +650 | 29,800 | +900 | 31,600 | +900 | 36,500 | +700 |
| Durgapur | 25,050 | +100 | 29,300 | -200 | 31,700 | -100 | 38,300 | 0 |
Basic Prices in INR/MT as on 1 june’15 ED and VAT/CST extra
Source: SteelMint Research
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