Nepal's Local Steel Price Surge on Rising Indian Export Offers
...
Amid significant rise in Indian Billet & Wire rod export offers, the local steel mills in Nepal are forced to increase local steel - Rebar prices.
As per re-rollers in Birgunj, Nepal, prices of local rebars consequent on rise due to higher input cost on rising Indian export offers. Currently the rebar prices in Nepal of small mills hovering at around NPR 78,000/MT (USD 700/MT or INR 49,100/MT) which was last week reported close to NPR 76,000/MT (USD 681/MT or INR 47,900/MT), up by NPR 2,000/MT (USD 18/MT or INR 1,250/MT) Week-on-Week.
One of the premium rebar manufacturer in Nepal stated "buying interest is dull as availability of material is good with the stockiest at lower prices, once there inventories get reduced, demand will increase. Major construction works are also slow due to heavy monsoon" he added.
Indian Export Offers
Following surge in Indian domestic steel prices, the export offers to Nepal also spurt and current export offers for Induction route Billets evaluated at USD 520-525/MT, as against last week at USD 510-515/MT ex-mill, Durgapur, East India.
Further, Wire rod export offers for commercial grade hovering at USD 605-610/MT which was last week quoted at USD 590-595/MT ex-mill, Durgapur.
On CFR basis, the above prices would cost high by about USD 25/MT, CFR Raxaual or Jogbani border, Nepal.
SteelMint learned that, the Central India - Raipur based manufacturers being quoted Wire rod export offers to Nepal at around USD 585-590/MT, ex-mill. However no deals have confirmed yet, as reported by participants.
Large Mills
SteelMint learned that, a large mill based in Jharkhand, in mid of Aug'18 have concluded Wire rod export deal with Nepal based manufacturers.
The deal price for Wire rod (SAE 1008) reported at around USD 610/MT CFR Jogbani border, Nepal.
As per source, presently the large mills have halted fresh quote for exports and are planning to raise domestic prices due to limited stock, spike in prices by medium mills & expected demand from the domestic & global buyers.
