The local Indian rebar market has continued to show divergent trends, reflecting varying demand patterns across regions, though overall market activity has been weak, SteelOrbis learned from trade and industry circles on Tuesday, January 9.
Sources said that rebar trade prices have lost INR 300/mt ($4/mt) to INR 48,600/mt ($585/mt) ex-Mumbai, but are up INR 500/mt ($6/mt) to INR 48,000/mt ($578/mt) ex-Chennai in the south.
Rebar prices are stable at INR 43,500/mt ($523/mt) ex-Raipur and are up INR 1,000/mt ($12/mt) to INR 43,700/mt ($525/mt) ex-Durgapur in the east.
“The market is lacking key drivers and lacks any direction, and participants are cautious in committing trades. Prices are reacting to varying regional factors like macro indicators as demand is cloudy,” a Kolkata-based trader said.
“There are sufficient stocks at market intermediaries. There is also a slowdown in tender-based sales of large integrated mills as project funding tightens for large construction projects as the [fiscal] year-end approaches. Government-funded projects are also facing issues of funding. Negative factors both at retail and bulks sales will continue to put pressures on prices,” he said.
According to two officials at large induction furnace operators, secondary mills will continue to attempt to push up prices to offset rising input costs even as they simultaneously adjust output levels to check variable operational costs.
$1 = INR 83.10
