Rebar buyers are cautious to take positions at current situation.
Rebar offers have fallen across India by upto INR 1,400/MT since the beginning of Sept’15. The prices had shown some strength late in Aug’15, after reaching a 5-year low early in the month.
Major fall is seen in central India, by INR 1,400/MT, followed by east and west India by INR 300-600/MT. Offers in South lndia fell by INR 500/MT W-o-W.
Rebar buying seems to be weak from last one week as traders and stockists had already procured material when prices were at their lowest level last month. They are now clearing stocks since the markets looks uncertain.
Buyers are still cautious to take positions at the current level. It is being heard that Directorate General of Safeguards today has recommended a 20% safeguard duty on HRC for 200 days, which is a sign of relief for domestic flat steel producers.
The impact of safeguard duty is likely to be positive on domestic long products.
Indian Billet and Rebar offers.
| Region | City | Billet Price | W-o-W | Rebar Price | W-o-W |
| Central | Raipur | 23,200 | – 1,400 | 26,300 | – 1,400 |
| Eastern | Durgapur | 23,700 | – 500 | 26,700 | – 600 |
| Western | Ahmedabad | 25,100 | – 700 | 28,200 | – 400 |
| Mumbai | 24,700 | – 900 | 28,400 | – 300 | |
| Northern | Mandi Gobindgarh | 26,700 | – 100 | 31,900 | – 100 |
| Southern | Hyderabad | 24,500 | – 500 | 27,000 | – 500 |
Basic Prices as on 9 Sep’15, #=12 mm, *Ingot price
Excise duty, CST/VAT extra
Source: SteelMint Research
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