Nepal Steel Prices Rise on India's Influence

The local Steel prices in Nepal increased further on improved demand and higher Indian steel prices. As per SteelMint weekly assessment, this week prices increase by Nepalese Rupee (NPR) 2,000/MT which is equivalent to INR 1,300/MT or USD 20/MT.

The latest offers for commercial grade Rebar stood at NPR 70,000-71,000/MT, equivalent to INR 43,600-44,300/MT or USD 690-700/MT, which was at around 68,000-69,000/MT (INR 42600-43000, USD 665-675) a week ago. The prices are ex-Birgunj (Nepal), size 10-20mm & excluding VAT @ 13%.

Nepal steel prices are highly influenced by Indian prices as Nepal is an import dependent market and most of it is being catered by India mills.

Recently in Durgapur, East India based mills have concluded Induction grade billet export deals to Nepal with increase prices of about USD 15-20/MT (NPR 1,500-2,000) W-o-W. The fresh deals of about 1,000-1,500 MT billet are reported at USD 505-508/MT which during the last week was offered at USD 490-495/MT ex-mill.

Indian export tender received high bids

Recent export tender by an Indian state owned steel mill to Nepal for billet & Wire rod which expired on 2nd Jan'18, received bids at USD 510 and USD 590/MT on ex-mill basis. Meanwhile, the tender is under negotiation mode.

Prior to this, the last tender was concluded (Dec 20th) for billet at USD 500/MT & Wire rod at USD 568/MT FOB India basis.

Indian domestic steel prices rallied

Indian steel prices continue to surge over rising raw material prices and improved local & export demand. The price rose in a week by INR 1,000-2,000/MT (USD 16-32) and monthly by INR 2,500-3,500/MT (USD 39-55).

The manufacturers in the local market (Durgapur, East India) are offering - billet at INR 32,200-32,400/MT (USD 503-506), Rebars 12mm at INR 36,500-37,000/MT (USD 570-578) & Wire rod 5.5mm at INR 38,100-38,300/MT (USD 595-599). The prices are ex-plant & excluding 18% GST.