- Tight supply lifts prices, most mills booked out for coming days
- Stocks at Tier-1 mills down 25-30% in end-Jan against mid-month
Indian Tier-I mills have increased rebar prices by up to INR 1,250/tonne (t) ($14/t) this week, sources informed BigMint. Post-revision, list prices stood at INR 54,500-55,500/t ($593-604/t) on landed basis. Following this, trade-level blast furnace (BF) rebar prices (distributor to dealer) rose w-o-w across major Indian markets. Strong material lifting was observed in the trade channel this week, as per market participants.
Trade-level BF-rebar (distributor to dealer) prices rose by INR 1,500/t ($16/t) w-o-w to INR 55,300/t ($601/t) exy-Mumbai as per BigMint’s assessment on 23 January 2026. Prices are excluding GST at 18%.
In the projects segment, prices hovered at around INR 54,500-56,000/t ($593-609/t) FOR Mumbai basis. Robust demand from the infrastructure and construction segments led to a material shortage at mills, supporting prices. Some offers were heard higher than these levels due to shortages.
Inventories at primary mills have declined by 25-30% in end-January 2026 as against mid-month, as per sources. Most steelmakers are booked out for the coming days, and some are not offering to the project segment owing to low stock levels, as per sources.
Update on projects
- GR Infraprojects has emerged as L1 bidder for NTPC’s engineering, procurement, and construction (EPC) package to implement a battery energy storage system (BESS) at Mouda Super Thermal Power Station, valued at about INR 488 crore.
- IRB Infrastructure Developers has executed a Project Implementation Agreement with IRB Harihara Corridors to act as the project manager for the TOT-17 highway project.
- Ashoka Buildcon has received a Letter of Acceptance from PWD Daman for constructing a signature bridge project valued at INR 307.71 crore (excluding GST).
- IRB Harihara Corridors, the special purpose vehicle of IRB Infrastructure Trust, began tolling on the 366 km TOT-17 highways after achieving financial closure and paying INR 9,270 crore concession fee.
Factors behind rise in prices
1. Material scarcity leads to higher quotes: Limited availability of select sizes in the distribution channel supported prices this week. Towards the end of the week, some offers were quoted above prevailing market levels due to the supply-demand imbalance, as several mills are booked through next month and operating with low inventories.
2. Raw material prices rise w-o-w: Prices of major raw materials rose w-o-w. BigMint’s Odisha iron ore fines (Fe 62%) index edged up by INR 100/t ($1/t) w-o-w at INR 5,900/t ($64/t) ex-mines. Odisha iron ore prices increased by INR 100-200/t ($1-2/t) during the week ended 17 January, supported by a hike in the Odisha Mining Corporation’s (OMC) base prices and improving sentiments in the downstream steel market over the last three to four days.
Australian premium hard coking coal (PHCC) prices rose by $9/t w-o-w at $240/t CNF Paradip.
3. IF-rebar prices dip w-o-w: IF-route rebar prices softened across major Indian markets amid sluggish trade and cautious, need-based buying. Sellers reduced offers or increased discounts, while inventories hovered at 10-12 days. Weakness in semi-finished steel also weighed on prices. Meanwhile, IF rebar trade prices edged up w-o-w by INR 300/t ($3/t) to INR 50,100/t ($545/t) exw-works Mumbai as of 23 January 2026, with near-term stability expected.
The BF-IF rebar price spread in Mumbai stood at INR 5,000-5,500/t ($54-60/t). IF rebars continue to dominate the domestic market with a 65-70% share.
Outlook
Trade-level BF rebar prices are likely to continue rising owing to strong demand and material availability issues. Additionally, mills may announce price hikes soon.
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