Gujarat-based Mono Steel (India) has resumed offers for billets in the domestic market at around Rs29,500/mt for next day payment, as per Davis Index sources. The company has resumed production and has also started making offers to China. In the domestic market, Monsteel has reduced its offers by Rs500/mt from pre-COVID-19 levels.
A word is that rebar manufacturers are stocking billets in preparation of commencing production. The Indian government has issued a notification stating constructions are to resume in non-COVID-19 hotspots from April 20. Traders/Retailers have thus started stocking rebars to resume offers soon as activities begin.
Early this week, Monosteel secured an export order for 30,000mt of steel billets for April shipments at around $400/mt cfr China likely to be shipped in the next 10-15 days.
The company has also started receiving enquiries from Bangladesh for sponge iron, though no deal has been heard so far.
Indian secondary steel makers are at present eyeing sea borne billet trades for better realisation. The Indian currency depreciated to Rs76.3 against US$1 as on April 17 from Rs75.47 on March 29.
The company’s plant is in Bhavnagar (Gujarat) which is near the Kandla port and has own inhouse transport services.