The mid sized wire rod mills in Raipur & Durgapur who have monthly productions close to about 15,000-30,000 MT have maintained offers this week despite no major inquiries amid healthier productions.
On an average in Raipur – Central India, about 5-7 are major producers of Wire rods whose contribution in production in local market is nearly 70-80%, have kept offers firm today. However trade discount through the re-sellers have raised to INR 1,000/MT as against last day at INR 600-800/MT.
Earlier the mills were assuming improved demand post the Holi festive although it is yet to pick up, as per them. However they stated as the elections are scheduled in the country in coming month, the local demand is expected to remain dull as most of major construction projects may slowdown soon.
— Real Ispat, who’s monthly installed capacity of wire rod is about 30,000-40,000 MT has offered 5.5mm Wire rod at INR 38,200/MT ex-plant, Raipur & excluding trade discount.
Coming to Durgapur where price range of 5.5mm Wire rod is hovering at INR 36,600-37,200/MT ex-plant. Meanwhile it is being observed that stock with the mills are more than average. Hence expectations are high that, if demands remain in same line, the plants may come under selling pressure and cut prices rigorously.
— Rashmi Metaliks located in Kharagpur near to Durgapur, eastern India has reduced prices today by INR 200/MT & offered Wire rod (5.5 mm) at INR 37,000/MT & HB Wire at INR 39,400/MT ex-plant, as per sources.
The eastern India based Wire rod plants are also largely involved in exports. Currently response is poor from the Nepal’s re-rollers due to liquidity crunch & weak demand in the country. India’s Wire rod exports being fall sharply by 19-20% M-o-M & Y-o-Y in Jan’19 and stood at 22,531 MT as against 28,025 MT in Dec’18 & 27,941 MT during Jan’18.
— The current wire rod export offers from Durgapur assessed at USD 530/MT ex-mill, this is equivalent to USD 560/MT CNF Nepal (Raxaul border). In context to large mills, the offer are evaluated at USD 560-565/MT CNF Nepal (Raxaul border).
Mid Sized Wire Prices as on 26 Mar’19
| Delivery | Size, Grade, Origin | Prices | Minimum | Maximum | 1-Week earlier | 1-Month earlier |
| Ex-Durgapur | Binding Wire(20 Gauge) | 47,700 | 47,400 | 48,000 | 48,000 | 48,200 |
| HB Wire(12 Gauge) | 39,200 | 39,100 | 39,300 | 39,000 | 39,700 | |
| Wire Rod(5.5 MM) | 36,900 | 36,700 | 37,200 | 36,500 | 36,800 | |
| Ex-Raipur | Barbed Wire(12*12 Gauge) | 48,000 | 47,600 | 48,500 | 48,200 | 48,800 |
| Binding Wire(20 Gauge) | 46,000 | 45,800 | 46,300 | 45,900 | 46,900 | |
| GI Wire(12 Gauge) | 45,700 | 45,500 | 46,000 | 45,700 | 46,200 | |
| HB Wire(12 Gauge) | 40,400 | 39,700 | 40,400 | 39,900 | 41,400 | |
| Wire Rod(5.5 MM) | 38,200 | 37,200 | 38,200 | 37,700 | 39,000 |
Prices in INR/MT & excluding 18% GST
Source: SteelMint Research
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