India: Hyderabad modified TMT Gauge Difference; Goa may follow the Suit

Hyderabad Steel Re-rolling Mill Association has changed the basic gauge size from 20 mm to 28 mm. The association increased the Ex-basic price of TMT (20 mm) by INR 1,500/MT.

Chhattisgarh has replaced the basic gauge size from 20 mm to 28 mm on 16 Apr, 2014. Following the suit, Hyderabad has also considered 28 mm as basic size for TMT.

Two months before, Maharashtra had considered first 28 mm as a basic size except Mumbai. Hyderabad & Goa had only increased the gauge difference prices at that time. Now, Chhattisgarh has replaced the basic size 20 mm to 28 mm then Hyderabad has also adopted this policy, while Goa is also expected to come in the queue.

“According to viability, we purchase & supply TMT to Jalna & Raipur. In both places, 28 mm is considered as the basic size. Balancing point of view, Hyderabad has also implemented it. Anyway, it will not impact demand much because only 20 mm & 28 mm prices have changed whose demand is only 10% of the total production.”

– Hyderabad based TMT Manufacturer