Semi-finished steel prices declined in most Indian secondary markets as sellers reduced offers amid a lack of finished steel demand.
The daily Davis Index for billet in Raipur fell by Rs300/mt ($4/mt) to Rs40,700/mt ($550/mt) ex-works on Wednesday due to limited buying interest from mills and a decline in ingot in the benchmark Mandi Gobindgarh for two successive days. Prices recovered marginally in the latter part of the day.
Demand for rebar fell as construction activities have slowed due to the insufficiency of laborers and the ongoing monsoon rains. Although the workforce has started to return to work, business activities are likely to gain momentum from August-end or early September.
Pellet sponge prices were around Rs29,000/mt ($392/mt) ex-works Raipur with limited takers. The daily index for rebar was down by Rs300/mt at Rs43,500/mt ($587/mt) ex-works Raipur on weak buying.
In Mumbai, the daily index for billet was down by Rs500/mt at Rs43,000/mt ex-works, while the index for rebar remained unchanged at Rs47,600/mt ex-works Mumbai.
In Mandi Gobindgarh, the daily index for ingot dropped by Rs1,000/mt to Rs42,300/mt ex-works in line with the fall in local scrap prices.
($1= Rs74.53)