India: BF-rebar trade prices decline w-o-w on festive-week demand slowdown

• Project segment sees sluggish demand, prices fall
• IF rebars show mixed trends on need-based demand

India’s trade-level blast furnace (BF) rebar prices declined w-o-w across major domestic markets, as a festive-week demand slowdown in the trade channel weighed on market sentiments.

Trade-level BF rebar prices dropped by INR 400/tonne (t) ($5/t) w-o-w to INR 48,400/t ($553/t) exy-Mumbai, as per BigMint’s assessment on 14 August 2025. Prices are exclusive of GST at 18%.

In the projects segment, prices fell w-o-w to INR 47,500-48,000/t ($543-548/t) FOR Mumbai, driven by sluggish end-user demand during the festive week.

Meanwhile, a leading private steel mill has scheduled an annual maintenance shutdown at one of its plants till next week, sources informed.

Update on projects

• L&T’s CarbonLite Solutions unit won an ultra-mega order from Adani Power to build eight 800 MW thermal units (total 6,400 MW), covering complete BTG packages, auxiliaries, and systems for India’s critical power infrastructure.
• Dilip Buildcon received a provisional completion certificate for its INR 1,228 crore Puducherry-Poondiyankuppam four-laning project under Bharatmala Pariyojana Phase I, enabling commercial operations from 16 May 2025, with a 15-year operation period.
• G R Infraprojects emerged as the L1 bidder to establish transmission systems for evacuating power from renewable energy (RE) projects in Rajgarh and Neemuch, Madhya Pradesh, under a tariff-based competitive bidding process.

Factors behind market dynamics

1. IF rebar prices exhibit mixed trends w-o-w: Induction furnace (IF) rebar prices showed mixed trends w-o-w across key Indian markets. Trade prices dropped w-o-w across major markets while remaining stable in some. Demand was need-based only. Semi-finished steel prices also declined w-o-w, which led to a lack of cost support. Inventory levels ranged within 10-12 days across regions. IF rebar prices were stable w-o-w at INR 45,800/t ($523/t) exw-Mumbai as on 14 August 2025.

The BF-IF rebar price gap narrowed w-o-w to around INR 2,500-3,000/t ($29-34/t) in Mumbai. IF rebars hold a dominant 65-70% market share in India.

2. Raw material prices rise w-o-w: BigMint’s Odisha iron ore fines (Fe 62%) index increased by INR 150/t ($2/t) w-o-w to INR 5,500/t ($63/t) on 9 August 2025.

Iron ore prices in Odisha stayed firm this week, supported by tight supply and steady demand from steelmakers. However, trading sentiment remained weak, as sharp price hikes by miners, of INR 200-500/t ($2-6/t), dampened market activity amid constrained availability.

Australian premium hard coking coal (PHCC) prices increased by $4/t w-o-w to $199/t CNF Paradip.

Outlook

Market participants expect trade prices of BF rebars to remain range-bound in the near term amid slow domestic demand.