Subdued trade activities amid slight fall in billet prices have made some corrections in Indian wire rod. During the month of Feb’17, the wire prices in Durgapur, East India plunged by INR 800/MT & in Raipur, Central Region by INR 100/MT .
In Feb’17, Billet prices in Durgapur down by INR 600/MT while, in Raipur it almost remained firm with a slight change of INR 200/MT.
Monthly average prices for Feb’17 commercial grade wire rod are as follow – at INR 29,000/MT (-0.4%) ex-Raipur & INR 27,400/MT (-3%) ex-Durgapur. Prices are basic & ex-plant and excluding ED & VAT/CST.
During the month, it observed that the wire rod producers in Durgapur are giving equal competition to Raipur based producers in terms of pricing mainly for northern part of India. For instance, the offer prices of 5.5 mm wire in Durgapur is cheaper by approximately INR 1,000/MT than the offers prevailing in Raipur.
Wire rod & Billet monthly average prices
| Markets | Monthly Average billet prices |
Monthly Average Wire Rod prices |
Changes in % (M-o-M) |
Price Change in Wire Rod (M-o-M) |
Conversion Spread | Changes in % | |||
| Jan’17 | Feb’17 | Jan’17 | Feb’17 | Jan’17 | Feb’17 | ||||
| Durgapur | 24,600 | 24,000 | 28,200 | 27,400 | -3% | -800 | 3,600 | 3,450 | -4% |
| Raipur | 24,600 | 24,800 | 29,100 | 29,000 | -0.34% | -100 | 4,500 | 4,200 | -7% |
Basic prices in INR/MT; ED and VAT/CST extra
Source: SteelMint Research
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