Amid low off-take of Re-bar, prices are stable in Central Region. Whereas, it has reduced in western & northern region by INR 500/MT W-o-W.
The situation of finished long products in the secondary market is poor as stockiest & traders have postponed the buying further. In addition, the input cost of raw material like Iron ore (shortage due to mining ban in Odisha) and coal (shortage owing to quantity reduction in e-auction to feed the power plant) has increased on the backdrop of shortage.
Re-bar (12 mm) price difference in Mumbai & Raipur has narrowed further to INR 1,300/MT as prices are at INR 34,800/MT and INR 33,500/MT ex-plant respectively. In Muzaffarnagar and Delhi, Re-bar (12 mm) is being traded at INR 34,500/MT and INR 35,100/MT ex-plant respectively and in Mandi Gobindgarh, it is traded at basic price of INR 37,000/MT.
Manufacturers believe Demand will increase soon
Mumbai manufacturer says, “Re-bar in Mumbai is trading at bottom level presently and very limited chance of further correction and we see a good buying in the upcoming days.”
Raipur manufacturer says,” Our plant is shutdown currently owing to low conversion spread and we will start the operation soon as we expect demand to improve.”
Weekly Price Change of Re-bar (12 mm) and Ingot
|
Market |
Region |
City |
Ingot Price |
W-o-W |
Re-bar Price |
W-o-W |
|
Sponge-based |
Central |
Raipur |
29,650 |
– 150 |
33,500 |
– 200 |
|
Eastern |
Durgapur |
30,200 |
– 400 |
33,200 |
+ 400 |
|
|
Scrap-based |
Western |
Mumbai |
31,700 |
– 100 |
34,800 |
– 400 |
|
Northern |
Mandi Gobindarh |
32,700 |
– 450 |
37,000 |
– 400 |
|
|
Ghaziabad |
33,300 |
– 100 |
34,900 |
– 500 |
||
|
Muzzaffarnagar |
32,100 |
– 300 |
35,500 |
– 500 |
||
|
Southern |
Hyderabad |
30,400 |
– 100 |
33,800 |
– 300 |
|
|
Chennai |
31,300 |
0 |
35,800 |
0 |
Prices in INR/MT as on 22 Sep, 2014
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