Rebar producers from Oman have managed to benefit from the rebar price increase in the UAE announced for September production.
Accordingly, SteelOrbis has learned of recent ex-Oman rebar sales to Emirati customers at $470-475/mt (AED 1,725-1,740/mt) CPT, up 15-18/mt (AED55-65/mt) compared to offers voiced a month ago. “I think they are trying to maximize the sales in the GCC as they were busy in other export markets last month. However, the demand here [in the UAE] keeps us worried,” a representative of one of the UAE’s long steel mills commented.
Domestic workable levels for rebar in the UAE have been reported mainly at $471-475/mt (AED 1,730-1,745/mt) CPT for 90-day payment. Some suppliers sold at $466-471/mt (AED 1,710-1,730/mt) CPT for LC at sight payment, SteelOrbis has learned.
Meanwhile, current local retail prices for rebar in the UAE have been settled at $490-499/mt (AED1,800-1,830/mt) ex-warehouse for Emirates Steel Industries’ rebar and $469-477/mt (AED1,720-1,750/mt) ex-warehouse for rebar produced by secondary mills. According to market insiders, in case of solid payment, 10-20 percent discounts are possible.
As SteelOrbis reported earlier, local rebar giant Emirates Steel Industries announced its offers for rebar produced in September at $498/mt (AED 1,830/mt) ex-works. However, as Emirati traders report, the workable level is quite lower.
$1 = AED 3.67