Local Indian rebar trade prices have showed varied trends across regional markets amid negative sentiments stemming from the lack of the usual demand revival at the end of the monsoon season, SteelOrbis learned from trade and industry circles on Tuesday, September 20.
Indian rebar trade prices have edged up by INR 300/mt ($4/mt) to INR 54,800/mt ($687/mt) ex-Mumbai, but are down INR 500/mt ($6/mt) at INR 55,000/mt ($689/mt) ex-Chennai in the south.
Rebar trade prices have gained a marginal INR 100/mt ($1/mt) to INR 51,500/mt ($645/mt) ex-Raipur in the central region and have indicated a sharp drop of INR 1,000/mt ($13/mt) to INR 51,000/mt ($639/mt) ex-Durgapur in the east.
“At the macro level, the post-monsoon rebound in construction activity and hence rebar demand has been delayed by late-season rains and floods in southern states. Trade channels are already fully restocked and are deferring fresh bookings, leading to pressures on trade prices,” a Kolkata-based distributor said.
“At the production level, induction furnace operators are seen to be lowering prices in reaction to the softening in prices of sponge iron and billets, to pass on benefits to end-users and to keep stocks moving,” he said.
However, according to a Mumbai-based distributor, buyers are largely keeping quiet as current market conditions lack a direction and they do not want to commit bookings when prices still face downside risks.
$1 = INR 79.80