Not much of trade is reported in Nepal steel market. Although, the steel prices have increased effected by the increasing prices in India.
SteelMint analysis last reported (2nd week of July), the prices of rebar at around Nepali currency 57,000-58,000/MT (USD 552-561) and billet prices at around USD 420-430/MT, which according to local mills have increased to around Nepali currency 60,000-61,000/MT (USD 584-594) for Rebar and at around USD 450-460/MT for billet, delivered Nepal border.
Notably, India’s blast furnace grade billet offers to Nepal are currently at around USD 430-435/MT ex-mill, which was around USD 400-410/MT in the start of July 2017.
Trade sources in Nepal mentioned “There is not much of trade for steel products in Nepal. Construction activities are the main demand generating sector for steel, which remains low due to monsoon hitting in the country.”
According to SteelMint Analysis, “The increase in prices is the mirror image of price increase in India”
Nepal produces majorly finished steel products for which the country procures raw materials like Ingot, Billet & Sponge iron from Indian market.
Trade Updates
1. Vizag Steel’s 10,000 MT billet export tender of size 90*90mm which expired on 26 July 2017. Fetched higher bids and the tender has concluded at around USD 448/MT, FoB. The shipment delivery is scheduled for Aug 2017.
2 Vizag Steel has issued a tender for export of 11,008 MT Wire rod coils with delivery of the material scheduled up to 31 Aug 2017. Bidders can keep their offer firm and valid for acceptance by RINL till 4 Aug 2017. The tender is open specifically for Nepal.
3. Durgapur based mills are offering Induction furnace grade billets at around INR 26,300-26,500/MT & Sponge C-DRI lumps grade at INR 17,800-18,000/MT; ex-Mill & excluding of GST at 18%.
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