Rebar Prices surge by upto INR 1,600/MT W-o-W

Surge in Rebar offers is noticed in all major market owing to low stocks & limited production. Manufacturers sense buying sentiment improve in Finish steel market.

Finished steel buying picked up in major Indian market. As a result, rebar prices have surged in a range of INR 1,000-1,600/MT W-o-W. As the Finish steel stock in the market is low and there’s shortage of Semi finish, the Ingot & Billet prices were increased in same range.

Southern Region

In South, especially in Hyderabad, the Finish steel prices have increased by INR 800-900/MT W-o-W owing to improved buying interest. However, rebar sales in Karnataka seems dull as the construction activities have completely frozen owing to shortage of sand. SteelMint learned that the prices of sand have skyrocketed to INR 70,000-1,00,000 per truck owing to a recent strike by the sand owners. State government has assured that the problems concerning sand issues are likely to be resolved soon.

Currently, as per a Rebar trader in Bangalore the 10-25 mm material is being offered at INR 40,200/MT( including all taxes) in the city. However, the same material, when supplied from Hyderabad will cost around INR 39,900/MT FOR i.e. about INR 300/MT cheaper.

Western Region

Prices in Mumbai surged by INR 1,000/MT W-o-W and offers are at INR 33,200/MT for 12 mm owing to positive market sentiment. Market participants believe that low stocks and limited production has resulted in price increased Shortage of Scrap was major concern in Mumbai last week, that supported Finish Long steel prices.

According to trader based in Mumbai, “Competitive billet prices in Raipur & Odisha has increased the supply to Mumbai from these regions in the last couple of days. This indicates that prices are likely to be under pressure for semi-finished and finished material in Maharashtra region.”

Weekly change in MS Ingot and 12 mm Rebar prices

Note: Basic prices in INR/MT as on 23 Feb’15
Excise Duty & VAT extra