Indian Rebar Prices Volatile on Mixed Response
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Rebar - the key commodity in construction sector observed mixed response in Indian market amid low conversion spread with the mid size mills.
Industry players are assuming that current price range will sustain in near term as Billet to Rebar (TMT) conversion spread still remains on lower side and it may improve. Meanwhile the rise in prices depends on buyers response, they added.
Also stated that, in current circumstances slow off take from retail segment has created liquidity crunch and few specified locations are under selling pressure owing to which stock is slightly high in comparison to average levels.
Further it is being noted in west region (Gujarat & Maharashtra) earlier BIS officials have initiated to collect rebar samples from mid scale manufacturers due to inappropriate quality found through First Council Report which was scheduled couple of weeks back.
Trade Updates
-- North region based U.P - Gallant Ispat Ltd unchanged their prices on day basis and offering Rebar at INR 40,100/MT (12-25 mm), excluding GST.
-- North India based Rathi Steels slightly decrease their prices by INR 250/MT on day basis and offering at INR 40,300/MT (12 mm), ex-works & excluding GST.
-- Central region, Raipur based brand - SPEED TMT reduce their price by INR 400/MT on day basis and offering at INR 36,400/MT (12 mm) ex-work & excluding GST.
-- Gujarat based Shreeyam Power & Steel Industries Ltd branding as National TMT unchanged on day basis and offering at INR 37,800/MT FoR (12 mm) & excluding GST.
--Jalna based rebar manufacturer Bhagyalaxmi Rolling Mill Pvt Ltd branding as Polaad tmt unchanged on day basis and offering at INR 37,700/MT (12 mm), ex-work & excluding GST.
-- Chennai based manufacturer Kamachi Industries Ltd branding as KAMACHI TMT offering Rebar at INR 39,500/MT (12 mm), ex-plant & excluding GST.
-- South India based - VRKP Steel (VRKP tmt) unchanged on day basis and offering at INR 39,500/MT (12 mm), ex-work & including GST.
-- As per sources, South India based medium scale manufacturers offering Rebar for exports at USD 525-530/MT CFR to South east Asia but no work concluded due to cheaper offers from Iran which is near about USD 510/MT CFR.
