Domestic rebar prices in Nepal increased further by NPR 3,000/tonne (t) ($25/t), tracking the $15/t w-o-w rise in billet import offers from India.
“Demand for rebars remained subdued due to the onset of the monsoon along with funds crisis. Hence, mills are operating at lower capacities of around 60-70%,” said an official from a renowned mill in Kathmandu.
He further added that, “Rebar prices here will change following Indian billet price movements as local demand will remain bearish till Diwali.”
Current offers for 10-16 mm rebars from mid-sized plants are reported at around NPR 81,000-82,000/t ($681-690/t), while those from the major mills producing premium brands are at around NPR 84,000-85,000/t ($707-716/t). Prices are on an ex-works basis, excluding VAT and ED.
Active demand from Nepal
Nepal’s re-rollers actively booked Indian billets in the last couple of weeks. Roughly over 10,000 t of deals have been reported this week at a price range of $560-570/t exw-Durgapur.
Meanwhile, current offers have been floated at $575-580/t exw-Durgapur, equivalent to $605/t CPT Nepal. Prices gained by $15/t, w-o-w, due to a rise in Indian domestic steel prices.
Also, offers for blast furnace (BF)-route billets increased by around $15/t and are currently hovering at $625/t exw-eastern India, equivalent to $645/t CPT Nepal, via rake delivery.
Finished steel
A slight rise of $5-10/t, w-o-w, in wire rod offers was reported, with fresh offers hovering at $620/t exw-Durgapur, equivalent to $645-650/t, CPT Nepal.
Meanwhile, offers through the primary mills (producing BF-route billets) are reported at around $730/t CPT Nepal.
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