The general market sluggishness and weak demand for rebar in Iran have in recent weeks influenced transactions at the Iran Mercantile Exchange (IME), which has been the main channel for determining market prices. On Sunday, May 10, most rebar offered via the IME failed to find a buyer, thus providing an indication of the depth of the current stagnation in the market.
On May 10 at the IME ready stock 10-25 mm rebar of Turkish origin failed to find a buyer at $460/mt ex-stock Iranian southern port of Bandar Abbas for immediate delivery and payment in cash through IME, as potential buyers made a very low bid of just $400/mt. Another batch of ready stock 10-25 mm (produced by Chelyabinsk of Russia) was unable to attract buyers' interest at $490mt ex-stock Iranian northern port of Anzali for immediate delivery and payment in cash. Prospective buyers in the latter case had bid just $420/mt.
Also on Sunday at the IME, Azarbaijan Steel was unable to sell rebar at $590mt ex-works for 10-day delivery and payment in cash, as bids received were not higher than $480/mt.
On the same day, 4,000 mt of ready stock Chinese origin 10-32 mm rebar was sold via the IME at $458/mt ex-stock Tehran for immediate delivery and payment in cash. It was easier for the seller in question to sell this material since the price was more flexible compared with those of other suppliers.
Finally, again on the same day, Esfahan Steel managed to sell 8-32 mm rebar and 14-18 mm I-beams (110,000 mt in total) via the IME at the level of $590/mt for 40-day delivery and payment in cash. Naturally, Esfahan Steel was able to sell this cargo as it included I-beam which stands at a price higher than rebar in the free market.