Local Indian rebar prices showed marginal variations based on varying demands across regions even as trade activity fell for Ramadan holidays and labor shortages at construction sites and divergent outlook among market participants, SteelOrbis learned from trade and industry circles on Tuesday.
While a section of the market expects buyers’ resistance and a price correction to emerge as rebar trade prices had risen too much, too fast others expected recent uptrend to get a boost once large buyers representing engineering, procurement, construction (EPC) companies resuming restocking once construction activities pick up following return of migrant labor force.
According to sources, rebar trade prices are up a modest INR 100/mt ($1.40/mt) to INR 49,500/mt ($576/mt) ex-Mumbai but have remained unchanged at INR 48,000/mt ($559/mt) ex-Chennai in the south.
Rebar trade price fell slightly by INR 100/mt ($1.40/mt) to INR 45,200/mt ($526/mt) ex-Raipur and remained stable at INR 45,500/mt ($530/mt) ex-Durgapur in the east.
“Despite a lack of market activity and expectation of a correction, there will be support from large buyers even if retail sales may remain sluggish for a while. Hence downside risks will be minimal once trading activity picks up over the next few days,” a Kolkata based distributor said.
“Major secondary mills producing long products are likely to increase prices in April, when overall construction activities gain momentum. Dealers too will be better placed for restocking, having fresh working capital facilities for the new fiscal year of 2025-26,” he added.
$1= INR 85.90