Local Indian rebar trade prices have showed mixed trends with some induction furnace operators dropping prices to pass on the benefits of softer input costs to drive sales, though trade volumes have remained moderate at the start of the festival holidays, SteelOrbis learned from trade and industry circles on Tuesday, September 27.
Indian rebar trade prices have edged down INR 600/mt ($7/mt) to INR 54,200/mt ($664/mt) ex-Mumbai but are up INR 1,000/mt ($12/mt) to INR 56,000/mt ($686/mt) ex-Chennai in the south.
Rebar trade prices have gained INR 400/mt ($5/mt) to INR 51,900/mt($636/mt) ex-Raipur in the central region, but have declined by INR 500/mt ($6/mt) to INR 50,500/mt ($618/mt) ex-Durgapur in the east.
“The slight softening in sponge iron and billet prices allowed induction furnace operators to drop prices to push higher sales. But we don’t think that achieved much as buyers are unwilling to build stocks ahead of the long holidays,” a Kolkata-based distributor said.
“The divergent price trend is also because of differing demand patterns across regions. Northern and southern regions are seeing disruptions in construction owing to adverse weather conditions. Large engineering construction companies are also deferring tender-based procurement of raw materials, leading to sluggish trade activity,” he said.
$1 = INR 81.60