Bangladesh: Medium Mills Rebar Prices Fall Further on Limited Inquiries

As per SteelMint weekly assessment, the medium mills in Bangladesh have further reduced domestic rebar prices by BDT 1,000/MT (USD 12). However the large scale mills have maintained offers despite limited inquiries.

As per trade participants, domestic finished steel demand is dull in Bangladesh due to inappropriate response by traders/retailers, thus the prices by medium scale producers continue to fall. Although the prices by large scale mills hovering on the same range amid ongoing projected supply.

Its’ also being reported that few mid range rolling mills have commenced production in nation’s capital with an assumption of better demand and supply of finished steel with massive spending in infra projects announced by government in the beginning of Jun’18, as per sources.

As per assessment, currently local Rebar prices in Dhaka, Bangladesh hovering at BDT 56,000/MT (USD 672); fall by by BDT 1,000/MT (USD 12) against last week, as reported by medium-scale producer.

Whereas, few large scale rebar manufacturers (RSRM – Ratanpur Steel Re-Rolling Mills Ltd. & Anwar Ispat) in Chittagong and Dhaka, have kept offers unchanged and reported at around BDT 62,000-62,500/MT (USD 744-750), Size – 8 mm to 32 mm, 500 W. The prices mentioned above are ex-works & including local taxes.

Further the local Billet prices in Dhaka reported almost stable and currently traded at BDT 49,500-50,000/MT (USD 594-600/MT).

Scrap prices — Domestic melting scrap (HMS) reported at BDT 34,300/MT (USD 411/MT) Ex-Dhaka. Meanwhile the Ship cutting plate (16 mm) prices in Chittagong assessed at BDT 40,500 (USD 486). The prices are ex-works & excluding taxes.

Imported scrap offers for containerized HMS (80:20) from UK & Europe is hovering at USD 345-350/MT, CFR Chittagong. Meanwhile the offers for containerize shredded scrap reported at USD 365-370/MT & for P&S grade at USD 370-375/MT, CFR Chittagong, Bangladesh.

Sponge iron import offers — Indian sponge iron export offers to Bangladesh remain firm and are assessed at USD 390-393/MT CFR Chittagong. The large mills in Chittagong in recent have booked good quantities of Indian sponge iron, as per participants.