Despite continuous fall in prices, the monthly average conversions from Billet to 12 mm rebar remain on positive note in Central, East & Western India.
Domestic long steel prices plummet continuously in line with low demand & fall in billet prices. However, as the proportion of prices fall was almost similar for billet and rebar; it did not affect the conversion from billet to 12 mm rebar.
As per the monthly average conversion from Billet to 12 mm rebar the re-rolling mills hold is around INR 3,500-3,700/MT in Mumbai & INR 4,500-5,000/MT in Raipur & Durgapur which is good as per the producers.
Standalone rebar manufacturer in Western region, Mumbai stated “Since couple of months the conversion from billet to 12mm Rebar is better as it was fluctuating nearly INR 3,500/MT. Hence, we prefer full operations to extract maximum margins.
Similar comment being received from Durgapur, East India whose rebar production at 900 MT per day added “margins are favorable as we are maintaining price gap from billet, minimum at INR 4,000/MT which can be sufficient if it come down to INR 3,500/MT.
* Comparison done on monthly average basis
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