Bangladesh: Medium Mills Rebar Offers Up by BDT 500-1,000/MT ($ 6-12)

Rebar offers of the mid sized mills in Bangladesh rally in domestic market amid improved demand, as per SteelMint's weekly assessment.

As per assessment, currently the local Rebar prices in Dhaka, Bangladesh through the mid size mills are hovering at BDT 58,000-59,000/MT (USD 691-703) as against last week at BDT 57,500-58,000/MT (USD 685-691) for 500W. The prices are ex-works, including local taxes & size 8-32 mm.

It's been learned from market participants that weak demand and inappropriate demand prior to elections had narrowed down the conversion spread (margins) from Billet to Rebar. Although now existing positive trends on improved demand, influence industrialists to raise their price range of finished steel. This has led to increase in conversion from earlier about BDT 7,000-8,000/MT (USD 84-95) to current at BDT 8,000-9,000/MT (USD 95-107).

Further it is anticipated that domestic Rebar prices are less likely to fall or may remain supported in line with improved projected demand.

Meanwhile the Rebar offers by large producers stated firm at BDT 63,000-65,000/MT (USD 750-774) against last week offers, ex-works, including local taxes & size 8-32 mm.

However the local Billet market is expected to remain under pressure as productions has been increased through the mid range mills, as per sources.

Recent slight fall being reported in Billet prices in Dhaka, Bangladesh by BDT 500/MT and the fresh deals stated at around BDT 50,000/MT (USD 596/MT) ex-works.