Primary Long Steel Producers Keep Prices Stable for May’16

Steel giants like RINL, SAIL and Tata Steel have kept rebar prices unchanged for May’16.

Primary long steel producers like RINL (Vizag Steel), Steel Authority of India Limited (SAIL), Tata Steel and JSW Steel have kept rebar prices unaltered for May’16 deliveries, as per sources.

Since Feb’16 with implementation of MIP, primary steel players had been increasing prices of all long steel products by INR 5,000-6,000/MT (till Apr’16).

A large distributor based in north India shared, “Steel Authority of India Limited (SAIL) has kept its rebar prices unchanged for the current month.”

He also added that few less bookings had been done in Apr’16 as compared to previous month because of low demand from infrastructure sector.

A dealer based in Chennai said, “RINL (Vizag Steel) has also kept rebar/wire rod offers unaltered for May’16. Moreover, the company’s rebar prices are INR 500-600/MT lesser than SAIL for few sizes.”

Price gap between primary and secondary producers

Currently, primary steel manufacturers are offering rebar in the range of INR 35,500-36,750/MT (excise duty included, VAT/CST extra) for 12-32 mm in Mumbai. While, secondary rebar producers are offering the same size material at around INR 30,000/MT.

Primary producers’ rebar offers for May’16

Prices are including excise duty; VAT/CST extra
Source: SteelMint Research