Steel Authority of India Limited reduces rebar offers by INR 800-1,000/MT/MT for July’16.
Steel Authority of Indian Limited (SAIL) has cut rebar offers by INR 800-1,000/MT for July’16 on account of sales pressure and price competition.
In the beginning of the month, other leading producers like JSW and Tata Steel has heard to reduce prices by INR 500/MT for July’16. Market sources expects primary producer may reduce prices further as project sales is low.
In Jun’16, SAIL reduced offers by INR 1,500/MT in two phases.
A dealer of SAIL based in Chennai said, “Today the company has announced to reduce offers by INR 800/MT w.e.f 1 July’16 for Chennai”.
Currently, It is offering 12-32 mm material at INR 33,400/MT (excise duty included, VAT/CST extra) in retail segment. Quarterly incentive will also be offered by INR 500/MT depending on the lifting.
Another dealer based in Delhi/ NCR shared,” SAIL has reduced offers by upto INR 1,000/MT w.e.f 1 Jul’16 for North India.
Currently, the same company offers for 12-32 mm rebar at around INR 32,500/MT in retail (excise duty included, VAT/ CST extra) while in projects it is offering at 31,500-32,000/MT for Punjab region.
Price gap between primary and secondary producers reduce further
Currently, all primary steel manufacturers are offering rebar in the range of INR 31,000-31,500/MT (excise duty included, VAT/CST extra) for 12-32 mm in Delhi. While, secondary rebar producers are offering the same size material at around INR 29,300-29,800/MT.
Note: Prices are basic (ex-Delhi/NCR), excise duty & other taxes extra
Leave a Reply