Government owned Steel Authority of India (SAIL) and Vizag Steel (RINL) have kept rebar prices unchanged for Feb’17 deliveries.
The prices are applicable from earlier in the month of Jan’17 and the integrated steel plants increased the steel prices up to INR 3,000-3,500/MT. The prices of other large scale producer namely Tata Steel, JSW and JSPL are expected to follow suit.
Currently, large scale producer 12MM rebar prices are assessed in the range of INR 34,500-35,000/MT (excise duty, CST/VAT excluded).
Price gap between Large and Small producers Widened further
Present price gap widened to INR 5,000-5,500/MT the average used to prevail at INR 3,000-4,000/MT. As in Mumbai 12MM large scale producer price are between INR 34,500-35,000/MT (excise duty, VAT/CST extra). While, small scale rebar producers are offering the same size material at INR 29,000-29,500/MT.
Two major reasons which influenced the Large producers to Keep price stable:
1. The dealers and distributors for the integrated steel plants already hold their inventories, as there was a weak demand in the month of Jan17.
2. Also due to financial year closing, steel manufacturer wanted to showcase healthy financial out look.
Vizag Stee (RINL) Rebar Prices during Nov’16-Feb’17
| Month | Prices | M-o-M |
| Nov’16 | 30,500-30,800 | 1,000 |
| Dec’16 | 31,500-32,000 | 1,500 |
| Jan’17 | 34,500-35,000 | 3,500 |
| Feb’17 | 34,500-35,000 | – |
Prices in INR/MT, Excise duty, VAT/CST extra
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