The daily Davis Index for rebar in Mumbai Friday remained unchanged and settled at Rs32,200/mt ($430.48/mt) ex-works. Secondary steel mills in Mumbai continue to hold rebar offers despite moderate demand.
In West India, demand is largely supported by institutional and government spending on infra projects like metro or road projects. Mills here are facing extreme cost pressures due to higher imported scrap and semi-finished steel prices. Mumbai-based manufacturers said they are unable to increase finished steel prices due to weak sales. The daily Davis Index for billet marginally fell by Rs50/mt to Rs29,050/mt ex-works Mumbai.
In Raipur, the daily index for billet was fell Friday by Rs250/mt at Rs28,500/mt ex-works following fall in rebar prices. Pellet sponge iron prices were at Rs17,100-17,200/mt ex-works, down by Rs100-200/mt. The daily Davis Index for rebar also fell by Rs300/mt and settled at Rs31,800/mt ex-works.
Steel mills in Raipur are suppliers of finished steel, including rebar, to nearby states such as Madhya Pradesh and Uttar Pradesh market. Retail demand from rural markets in these regions have improved.
In Mandi Gobindgarh, the daily index for ingot stayed flat at Rs31,300/mt ex-works on Friday. The daily index for rebar settled flat at Rs36,450/mt ex-works.
($1= Rs74.80)