Indian semi-finished and rebar prices rose in Mumbai and Raipur markets on Monday.
The daily Davis Index for billet in Mumbai was up by Rs1,000/mt ($14/mt) to Rs43,100/mt ($578/mt) ex-works from Friday driven by improvement in rebar demand. The price rise was also fueled by an increase in domestic scrap prices.
Secondary steel mills in Mumbai believe rebar demand could sustain for the near term as traders have actively started restocking. Prices, thus have been showing recovery for the past few days.
Unlike other markets, especially in the North, Mumbai mills have were not forced to curtail production. Only a few mills producing either billets or rebar have decided to reduce production or shutter their units for the next 15 days.
The index for rebar was up by Rs700/mt ($10/mt) Rs47,100/mt ($631/mt) ex-works Mumbai on healthy rebar sales.
In Raipur, the daily index for billet rose by Rs800/mt to Rs40,600/mt following an increase in rebar prices.
Pellet sponge offers rose by Rs200-300/mt from Friday to Rs29,300/mt ($389/mt) ex-works Raipur. The index for rebar was up by Rs800/mt at Rs43,800/mt ex-works Raipur.
In Mandi Gobindgarh, the daily index for ingot was up by Rs500/mt at Rs43,500/mt ex-works, following the rise in local scrap prices.