Iranian suppliers of rebar, both mills and traders, have reduced their product prices during the last few weeks, continuing the downtrend seen since the middle of October. The winter season has weakened local market demand for rebar and for other construction materials, while the high inventories of rebar in warehouses and at ports also do not allow any recovery at present.
Currently, local traders in the Iranian market are offering 12-25 mm rebar at about Rial 9.10-9.25 million/mt ($831-845/mt) ex-stock Tehran, including VAT, for immediate delivery and cash payment, down from Rial 9.20-9.30 million/mt in early November and Rial 9.40-9.55 million/mt in early October.
Rebar prices in Iranian domestic market:
Sizes | Price mil. rials/mt (01.10.2011) | Price mil. rials/mt (01.11.2011) | Price mil. rials/mt (17.11.2011) | Price mil. rials/mt (24.11.2011) | Price mil. rials/mt (01.12.2011) | Price mil. rials/mt (08.12.2011) |
12-25 mm | 9.40-9.55 | 9.20-9.30 | 9.30-9.35 | 9.25-9.35 | 9.20-9.30 | 9.10-9.25 ($831-845/mt) |
During the current week, Iranian rolling mills sold some batches of 12-25 mm rebar via the Iran Mercantile Exchange (IME) at about Rial 8.40-8.65 million/mt ($767-790/mt) ex-works for 30 to 90-day delivery, while local mills had been selling rebar at Rial 8.40-8.80 million/mt via the IME in early November.
$1 = Rial 10,950 (official rate)