The local Indian rebar market has bounced back with prices consolidating at higher levels amid lively trading conditions, with both mills and trade channels reporting a higher number of bookings and higher-volume bookings, SteelOrbis learned from trade and industry circles on Tuesday, August 2.
Indian rebar trade prices are up INR 800/mt ($10/mt) to INR 55,600/mt ($704/mt) ex-Mumbai and stable at INR 58,000/mt ($734/mt) ex-Chennai in the south.
Trade rebar price are up INR 500/mt ($6/mt) to INR 56,500/mt ($715/mt) ex-Durgapur in the east and up INR 500/mt ($6/mt) to INR 53,800/mt ($681/mt) ex-Raipur in the central regional market.
According to the sources, while integrated mills have reported higher bookings by engineering, procurement and construction (EPC) companies, trade channels have received improved offtake as real estate developers and rural project contractors increased restocking as monsoon rains have started to abate and ahead of the expected pick-up in construction activities later this month.
“Prices of billets and sponge iron continue to rise. Positive signs are in the revival in demand for long products, which is enabling induction furnace operators to pass on higher input costs to end-users,” a Kolkata-based distributor said.
“The market is expecting prices to gain further momentum as the “busy season months” are approaching for the construction industry on the one hand, and there is also some tightening of supplies of semis in some regions,” he said.
$1 = INR 79.00