Indian rebar prices continue to remain tight except in Mumbai
Indian rebar manufacturers are bound to increase offers by 600-900/MT in a week’s time owing to continuous rise in raw material prices i.e ingot/ billet, except in Mumbai, where prices have not gone up in the same duration.
At present, rebar producers are offering 12 mm material in the range of INR 24,000-25,000/MT (basic price, excise duty, VAT/CST extra) in ex-Raipur, INR 26,100/MT in ex- Hyderabad, INR 25,900/MT in ex-Mumbai, INR 23,600/MT in ex-Durgapur.
It seems that the traders/ stockist had stocked the material in bulk at lower rates when the market had started reviving in the beginning of the current month. But now they are facing diffculty in sellling the material as demand is not very strong from end-users.
A well known rebar manufacturer based in Raipur stated that few deals in rebar concluded at INR 24,000/MT(basic price) for 12mm, mostly within the state and from neighboring state i.e Maharashtra.
He also claimed that although state government has recently reduced the power tariff by around Re1/unit for steel units in C.G but simultaneously prices of raw material (coal, iron ore and pig iron) have increased substantially which has nullified the effect.
Indian billet and rebar prices as on 19 Sep’16
|
Region |
City | Billet | W-o-W | 12 mm Rebar |
W-o-W |
| Central | Raipur | 21,600 | +450 | 24,100 | +600 |
| Eastern | Durgapur | 21,400 | +600 | 23,600 | +900 |
| Western | Mumbai | 23,000 | -200 | 25,900 | 0 |
| Ahmedabad | 23,100 | 0 | 24,600 | +600 | |
| Northern | Gobindgarh | 24,400 | +500 | 28,600 | +800 |
| Southern | Hyderabad | 23,500 | +1,000 | 26,100 | +900 |
| Bangalore* | 23,200 | +900 | 28,400 | +800 |
Basic prices in INR/MT, excise duty & other taxes extra
Source: SteelMint Research
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