Consturction activities have picked up across the country, which is supporting prices of billet and rebar. Prices continued its uptrend on Friday as well, though moderate trades were reported.
The daily Davis Index for billet increased by Rs700/mt ($9.6/mt) to Rs37,500/mt ($517.9/mt) ex-works Raipur on Friday, though trades were limited at increased prices. Billet suppliers are not willing to sell material at prices below offers looking at higher Sponge iron ore prices.
Meanwhile, Pellet Sponge offers rose to Rs25,500-25,700/mt ex-works. The index for rebar increased by Rs500/mt ($6.9/mt) and settled at Rs41,500/mt ($573.2/mt) ex-works Raipur, with sustained and robust demand during the week. Few steel mills reported that many construction sites are now working in full swing with a target to complete projects before the fiscal year ends on March 31. This is supporting rebar demand.
In Mumbai, the daily index for billet in Mumbai increased by Rs700/mt at Rs40,300/mt ex-works with some deals reported at index price. The index for rebar was up by Rs200/mt to Rs44,700/mt amid good sales supported by the construction projects’ segments.
In Mandi Gobindgarh, the daily index for ingot surged by Rs1,200/mt to settle at Rs39,900/mt amid rise in local scrap prices.