Maharashtra, is counted among one of the largest Finish Steel consuming states in the country and also, carries an installed capacity of 4 MnT pa of Re-bar manufacturing(as per survey in FY13). Presently, the state has not witnessed any major fluctuations in the prices of Semi Finish & Finished Steel in a month’s time.
In Maharashtra, power charges are reduced by INR 1.0-1.20 per unit which increased production of Semi Finish by 20-30% and Finished Steel by 10-20% whereas prices have not been pass on to the buyers.
[su_pullquote]Manufacturers believe that market will remain volatile and there will be no major changes till February.[/su_pullquote]Demand of Semi Finish (Ingot/Billet) is subdued owing to sluggish sales of Re-bar & Structure. There was expectation of increment in the market but increased production holds the market with an anticipation that market may correct in coming weeks.
The manufacturers were producing Ingot/Billet only in night hours (10-14 hrs) till last month. But, after reduction in power tariff, they also started their production in day time which led to no improvement in Ingot/Billet offers in a month’s time.
Earlier, Raipur sold its materials (Billet & Re-bar) to Maharashtra but now it is not possible to sell the materials owing to low prices of Billet & Re-bars in Maharashtra. As a result, no major changes recorded from 10-15 days in Central India’s market.
Other Market: Rourkela & Gujarat markets are also stable from a week’s time. However, Hyderabad offers gained by INR 400/MT for Ingot/Billet in W-o-W. Major increment by INR 400-600 has been observed in North India’s market in a week’s time.
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