Wire Rod offers in both Raipur and Durgapur went up by INR 600/MT W-o-W owing to rise in Billet offers.
Secondary wire rod manufacturers increased their offers in both Raipur and Durgapur by INR 600/MT in the last on week in line with the rise in billet offers by INR 200-600/MT.
Manufacturers are of the belief that current demand is of average nature and prices are expected to remain firm in Raipur for some time.
Currently, prices of 12G GI wire and 12G barbed wire are hovering in the range of INR 41,500/MT and INR 44,500/MT in Raipur (prices including all).
M-o-M Conversion Gap
After the sharp price correction of INR 1200-1800/MT in week 34, the conversion gap has continued to remain low for Durgapur. Manufacturers in Raipur have maintained the desirable conversion level. The desired conversion gap between MS billet and wire rod is approximately around INR 3,500-4,000/MT.
*Wire rod of 5.5 mmWire Rod Import Offers : Sources revealed that 6.5 mm mesh quality wire rod of Chinese origin is being offered at USD 302-305/MT FOB China main port. Offers are down by USD 15/MT W-o-W. It was also revealed that Indian importers are quite tempted by these offers as earlier the domestic prices saw sharp corrections.
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 | 24,300 | + 650 | 28,400 | + 600 | 30,300 | + 600 | 33,700 | + 1500 |
| Durgapur | 24,200 | + 200 | 27,300 | + 600 | 29,000 | + 600 | 35,700 | + 500 |
Basic Prices in INR/MT as on 1st Sep’15; ED and VAT/CST extra
Source: SteelMint Research
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