Due to limited trade activities because of festivals last week, wire rod prices have declined sharply in Raipur. While, Durgapur market remained almost closed throughout the week.
Domestic wire market remained dull because of sluggish demand in the market in week 43. Currently, 5.5 mm wire rod is being offered at INR 24,500/MT (basic price) and MS billet at INR 20,700/MT in Raipur. Market remained closed in eastern India due to Durga Puja last week.
The closing price of 5.5 mm wire rod in Durgapur was INR 29,200/MT last week and today as per sources, it is expected to open at INR 28,300-500/MT; nearly down by INR 700-900/MT (prices including all). No major trading activities took place in Durgapur last week.
Slack demand in finish wires resulted in sharp price corrections of INR 900-1,300/MT. Currently in Raipur, 12G GI wire is offered at INR 36,500/MT and 12G barbed wire at INR 39,000/MT (prices including all).
Looking at the current market scenario, market participants expect that domestic market will remain bearish due to upcoming festival, Diwali. Demand is likely to pick up in the 1st week of December.
Indian billet and wire prices as on 26 Oct’15
| City | MS Billet | W-o-W | 5.5 mm Wire Rod | W-o-W | 12G HB Wire | W-o-W | 20G Binding Wire | W-o-W |
| Raipur | 20,700 | -1,300 | 24,500 | -1,200 | 26,100 | -1,200 | 29,800 | -1,300 |
Basic prices in INR/MT; ED and VAT/CST extra
Source: SteelMint Research
*Above prices are on ex-plant basis for barbed wire (12*12 Gauge), binding wire (20 Gauge) and GI wire (12 Gauge).
Imported wire rod offers: Imported wire rod offers have lowered down this week nearly by around USD 10/MT. Currently, 6.5 mm wire rod is offered at USD 273/MT, FoB China main port.
| Region | Offers | W-o-W |
| China export (FoB main port) | 273 | -10 |
| CIS export (FoB Black Sea) | 323 | 0 |
| South East Asia (CFR) | 293 | -3 |
Offers in USD/MT
Source: Steelmint Research
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