Delay in payment and increase in production will increase the selling pressure on manufacturers due to ongoing festivals.
Rebar offers have fallen by INR 500-1,500/MT across India W-o-W after prices surged by up to INR 1,200/MT two weeks ago. Major fall was seen in north India like in Delhi by INR 1,500/MT, followed by central India by INR 1,300/MT, east India by INR 800/MT, west and south India by INR 400-500/MT in the same period.
High inventory at retailers end kept most stockist away from market. Sources revealed delay in payment and increase in production will increase the selling pressure on manufacturers due to ongoing festivals. The situation may continue next week until market takes further direction.
Indian Billet and Rebar Offers
|
Region |
City | Billet | W-o-W Change | Rebar# |
W-o-W Change |
| Central | Raipur | 23,300 | -1,200 | 26,300 | -1,500 |
| Eastern | Durgapur | 23,700 | -1,100 | 26,200 | -800 |
| Western | Mumbai | 24,500 | -500 | 28,100 | -400 |
| Jalna | 24,500 | -500 | 27,500 | -200 | |
| Northern | Gobindgarh | 26,700 | – 1,000 | 31,800 | -500 |
| Southern | Hyderabad | 24,000 | – 500 | 26,500 | – 900 |
| Chennai | 23,850 | – 150 | 27100 | – 500 |
Basic Prices as on 22 Sept’15, #=12 mm
Excise duty, CST/VAT extra
Source: SteelMint Research
Trade wise:
1.Currently, supply has increased slightly from central India to MP, Maharashtra border like Vidarbha region and few parts in Northern India owing to better viability as per the market participants.
2.As per our sources, a rebar manufacturer based in Raipur has concluded a deal for a small quantity near Vidarbha at INR 26,300/MT for 12 mm with the freight of INR 1,100/MT.
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