Rebar prices have increased in the local Iranian market in the past two weeks, maintaining its upward trend since the second half of August. Local market demand for rebar in Iran usually increases in the summer, while foreign currency prices in the free market is another factor supporting the rising trend in the Iranian rebar market. However, high inventory of rebar at ports and warehouses in Iran is a factor which prevents local traders and mills from hiking their prices by large margins.

In May this year, rebar prices in Iran had reached a peak level, hitting Rial 9.00-9.15 million/mt ($849-863/mt). Prices failed to remain at such high levels for more than a few weeks and so started to go down until a new rising trend started in the last week of August.

At present, local traders in Iran are offering 12-25 mm rebar at about Rial 9.35-9.55 million/mt ($882-901/mt) ex-stock Tehran, including VAT, for immediate delivery and cash payment.

Rebar prices in Iranian domestic market

On September 21, Iranian rolling mills sold some batches of rebar of 12-25 mm sizes via the Iran Mercantile Exchange (IME) at about Rial 8.40-8.50 million/mt ($792-802/mt) ex-works for 60 to 90-day delivery, compared to 8.30-8.50 million/mt ($783-802/mt) on September 4,  Rials 8.12-8.40 million/mt ($766-792/mt) on August 17 and Rial 8.00-8.50 million/mt ($755-802/mt) on August 3. 

$1 = Rial 10,600 (official rate)