The Davis Index for rebar in Raipur fell by Rs400/mt ($5.27/mt) to Rs32,800/mt ($432.43/mt) ex-works from Friday, driven by a fall in ingot and billet prices. Other secondary steel markets like Maharashtra, Punjab, UP have gradually resumed production and dispatches with limited workforce. But as demand is yet to revive, an excess supply of finished has put downward pressure on prices.
The index for billet decreased by Rs550/mt ($7.25/mt) and settled at Rs26,450/mt ($348.71/mt) ex-works Raipur. Pellet sponge was priced at Rs15,500/mt, down by Rs100-200/mt from last Friday.
In Mumbai, the Davis Index for rebar remained unchanged from Friday at Rs34,300/mt($452.20/mt) ex-works with limited trades. Demand for rebar is reviving with housing projects gradually resuming activities after staying shut for over one and half month. The index for billet dropped by Rs300/mt ($3.95/mt) to Rs28,900/mt ($381.01/mt) ex-works Mumbai.
In Mandi Gobindgarh, the daily index for ingot fell by Rs500/mt ($6.59/mt) to Rs29,250/mt ($385.62/mt) ex-works due to low demand across Punjab. A few steel mills have resumed production at 50pc capacity. But trade activities are yet to pick up state rebar manufacturers.