Indian Mills Reduce Export Offers to Nepal

As per SteelMint’s weekly assessment, the Billet & Wire rod export offers to Nepal declined by about USD 10-15/MT from the Indian large & medium mills based in Eastern part. The export offers fell in line with slump in Indian domestic steel prices by INR 1,000-2,000/MT (USD 15-30) in a week duration.

Medium Mills

The current export offers of Induction route billets reported at around USD 490/MT as against last week at USD 500-505/MT ex-mill, Durgapur. Meanwhile offers from Odisha based plants is assessed at USD 480-485/MT ex-mill. On CFR Nepal basis, this offers could move higher by USD 25-30/MT.

Similarly, export offers for commercial grade wire rod (5.5 mm) is reduced to USD 560-565/MT as compared to last week at USD 575/MT ex-mill, Durgapur. On CFR basis the latest price will be around USD 585-590/MT, CFR Raxaul Border (Nepal).

Large mills aggressive for export bookings

As per participants, the large mills have further reduced export prices and are more aggressive for fresh bookings.

The current export offers of high carbon Wire rod (5.5-6.0 mm) by JSPL & Electro Steel based in Jharkhand – East India heard at around USD 640/MT CFR Raxaul Border (Nepal), which was last assessed at USD 650-660/MT.

Further, the mills in Nepal claimed – reduced Wire rod prices by a large mill based in West-Bengal and the fresh quote mentioned is not more than USD 590/MT ex-mill, which is equivalent to USD 620/MT, CFR Raxaul Border (Nepal).

Blast furnace grade billet export offers heard at around USD 550-560/MT ex-mill & USD 580-590/MT, CFR Raxaul Border (Nepal).

Nepal local Rebar prices slump on falling Indian steel prices

Local mills in Nepal stated – the decline in domestic Rebar prices by NPR 2,000/MT (USD 19) in a week’s time.

The latest offer for Rebar by small mills in Bhairva, Nepal reported at NPR 77,000/MT (USD 700) & through the large mills (premium brands) it hovering at around NPR 79,000/MT (USD 719). The prices are ex-works, size 10-20mm and excluding VAT at 13%.

As per major mills in Birgunj, Nepal presently scope is high for further fall in local steel prices due to poor off take and declining Indian steel prices. Currently steel demand in Nepal is poor due to ongoing monsoon season & closing of Nepalese financial year (15th July).