Secondary rebar manufacturers across India have increased offers in Dec’15 by upto INR 1,600/MT as compared to previous month.
Secondary rebar manufacturers have continued to increase offers since the starting of Dec’15 due to positive demand and government’s initiative on the proposed minimum import price on various steel products.
On monthly average basis, rebar offers have increased by INR 800-1,000/MT in Dec’15 as compared to previous month in east and west India. Meanwhile, prices in central and south India rose by INR 1,300-1,600/MT.
Conversion spread from billet to rebar has also widened by around INR 350/MT in Raipur and INR 450/MT in Durgapur in Dec’15 against Nov’15. This indicates that rebar demand was quite better during the month.
Viewing the recovery in market, secondary rebar manufacturers in other Indian markets like Gujarat, Hyderabad, Jalna and Mumbai have also increased gauge parity last week.
Indian billet and rebar prices as on 2 Jan’16
|
Region |
City | Billet | M-o-M | 12 mm Rebar |
M-o-M |
| Central | Raipur | 23,000 | +3,500 | 27,300 | +4,500 |
| Eastern | Durgapur | 22,500 | +3,000 | 26,300 | +4,100 |
| Western | Mumbai | 24,500 | +2,600 | 28,000 | +3,200 |
| Jalna | 24,400 | +2,800 | 28,000 | +3,000 | |
| Northern | Gobindgarh | 25,300 | +2,700 | 27,200 | +2,800 |
| Southern | Hyderabad | 24,500 | +2,700 | 27,200 | +2,800 |
| Bangalore* | 23,700 | +3,000 | 26,600 | +4,100 |
Basic prices in INR/MT; excise duty and CST/VAT extra
* Ingot price
Source: SteelMint Research
Note: Prices are basic, Excise duty & Other taxes extra
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