Trade associates indicated 30-40% drop in rebar sales volume on a monthly basis. This is owing to limited buying inquiries from regular retail counters who used to procure a considerable quantity of material every month.
It is expected that few Indian primary mills would probably offer some trade discounts in its rebar prices in the near future, SteelMint learnt from its credible sources.
Further, it is evaluated that dull sentiments has forced industrialists to offer rebar at significantly low prices especially through medium and small scale mills. This has widened price gap between large & medium mills.
Dealers of large mills based in different regions shared, stock level is increasing and we have to deal with our margins and sell at low prices. Prices have come down by INR 400-500/MT against last week.
Trade participants are of the view that large mills would have to adjust finished long steel prices for Apr’20 deliveries otherwise it would be tough to get decent quantity orders in coming months.
— Current trade reference 12mm rebar price of large scale mills is hovering at INR 40,000-40,500/MT while secondary mills are offering at around INR 33,500/MT, Ex-Mumbai, western India.
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