Downward trend already ingest the steel market. Sustaining this downward trend, primary producers have also reduced their prices by Rs 700-1000/t.
After reducing Re-bar prices up to Rs 700/t by RINL, TATA has also reduced the prices by Rs 800-1000/t for June'13. Whereas SAIL has kept the prices unchanged but by the sources it has come to know that they have increased their dealers discount by Rs 700-1,000/t. It seems that they want to clear their stocks as monsoon season is about to come.
Offers for 8MM TMT in all major cities by primary producers is at around Rs 44,500-47,000/MT (Exclusive of VAT).
“Finish steel has not witnessed any rise in demand from last few months. Demand was not encouraging and we were also facing liquidity issues so we were bound to trade in lower prices†said a well known TMT trader. Now a day’s due to shortage in raw materials and some pre-monsoon demand semi finished and finished prices are increasing up to Rs 100-200/t on daily basis. But cut in primary prices can interrupt this improvement he further added.
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