Spot steel trades in Indian domestic market continued to remain on lower side as end users haven’t resumed operations fully. Meanwhile major project works are gradually picking, leading to active demand with premium brands, who are dealing with them.
Secondary steel market update –
Raipur: Rebar offers remain on the same level i.e. INR 31,500/MT and trades were reported around INR 31,100-200/MT. Most of the plants have started dispatching material for old deals and existing inventories might get liquidated in the coming week. Thus, there are assumptions that plants may resume operations accordingly. Limited trades were reported at current offers, as per trade participants.
— Premium Rebar brands like GK TMT has rolled-over prices at INR 33,700/MT, EXW.
— Wire rod offers remain unchanged at INR 30,000/MT EXW, while few deals are assessed at a reduced price of INR 29,000-29,200/MT EXW. GI Wire (12 G) trades heard at INR 39,000-39,300/MT & BINDING Wire (20 G) at around INR 38,000/MT EXW.
— Billet offers also stood firm at INR 25,800-900/MT FoR basis from Raigarh (advance payment) & local Raipur based plants at INR 26,200-300/MT EXW on next day payment.
— Silico Manganese (60-14) offers by manufacturers were reported at INR 67,000-67,500/MT EXW, while there were no fresh deals, as stated by participants.
Durgapur: Rebar & Wire rod offers remained unaltered by Kharagpur based plant at INR 30,000-30,100/MT & INR 29,700-29,800/MT, respectively, EXW. Billet offers reported at INR 25,800-26,000/MT.
It is learned that most of the plants in Durgapur have requested the government for permission to restart operations, however yet no update received from the authorities.
Raigarh: Trade sources reported only few integrated mills are running in this tough time, also trades remained limited. Billet offers are assessed at INR 25,300-400/MT, Sponge C-DRI at INR 16,800/Mt & P-DRI at INR 15,800/MT EXW.
Mandi Gobindgarh: The market remains closed and still there are no open offers by any of the manufacturers.
Rourkela: Offers remain unaltered, Billet at INR 25,300-400/MT & Sponge C-DRI (mix material) at INR 16,000/MT EXW. Few deals of Billet from Jharsuguda based mill reported at INR 25,400/MT EXW.
Hyderabad: Traders reported no major activities seen from the manufacturer’s end, as of now maximum number of plants are not responding over lock down and waiting to operate after 7th May. Offers remain unchanged for Rebar at INR 31,000/MT EXW.
Mumbai/Jalna: In this region the majority of mill owners didn’t offer any price of Ingot/Billet & Rebar. As per few traders and manufacturers there is very less possibility to resume production by plants before 3rd May’20.
Ahmedabad: The Billet offer by one of the leading integrated steel plants in the state has remained unchanged at INR 28,500/MT FoR. While in terms of Rebar, also trade reference price firm at INR 33,400-33,900/MT FoR.
Note: The prices mentioned above for Rebar at 12-25mm, wire rod at 5.5mm & billet of 100*100mm.
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