As per SteelMint weekly assessment, the local Rebar prices remained unaltered in Nepal despite mills in Nepal running out of inventories, over improved demand and production disturbance due to uncertain power cuts.
On an average the steel mills in Nepal received power supply for 18-20 hrs in a day which is presently not full-fledged, SteelMint learnt from production sources.
The current offers for commercial grade rebars by small/medium mills in Biratnagar, Nepal have been reported at NPR 74,000/MT (INR 46,300/MT or USD 712/MT).
However, the prime brands’ offers who rolled large mills (blast furnace grade) billets, are assessed at NPR 76,000-78,000/MT (INR 47,500-48,800/MT or USD 731-750/MT). The prices mentioned above are for 10-20 mm & are excluding VAT.
One of the renowned mills in Bhairva whose long steel production is about 5,000-7,000 per month, reported some shortage of rebars owing to strong demand and low productions.
Import Offers
Indian Steel export offers to Nepal have increased sharply in line with significant price surge in domestic market. As per SteelMint weekly assessment, the Indian medium mills have raised export offers to Nepal by around USD 10-15/MT for Billets.
– The latest export offers to Nepal for Induction route billets by Durgapur based mills reported at around USD 520-525/MT and from Rourkela at around USD 510-515/MT. Both prices are ex-mill & size 100*100mm.
– Wire rod (5.5 mm, commercial grade) export offers by Durgapur based mills are hovering at USD 605-610/MT against last week assessment at around USD 600/MT (ex-mill), size – 5.5mm.
On CIF Nepal basis these offers would go up by approximately USD 20-25/MT.
Large mills reduce offers
– As per purchase sources in Nepal, the large mills have reduced Wire export offers and are currently evaluated by SAIL at USD 660-670/MT ex-plant & size 5.5-6.0 mm, for which landed cost would be around USD 690/MT CIF Nepal (Indo-Nepal Border).
– Meanwhile, Wire rod (5.5 mm) export offers by another large producer – JSPL is heard to be around USD 700/MT CIF Nepal.
– RINL’s (known as Vizag Steel) Wire rod & Billet export tender to Nepal which expired on 3rd Apr’18 had received good response. In this tender the company has offered 5,504 MT Wire rod (5.5MM at 2,704 MT & 6.0 mm at 2,704 MT) and as per participants the tender has been concluded for 5.5mm at USD 650-655/MT & 6.0mm at USD 635-640/MT. Further the offered billet at 8,256 MT was sold out at close to USD 525/MT (ex-mill), as per participants.
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