Indian wire rod market slow
2014-10-20 09:01:46 [Print]
BEIJING (Asian Metal) 20 Oct 14 - The wire rod market in India runs slowly at present due to the soft local demand and the price fails to increase dragged by plenty of imported products. The current price of wire rod SAE1008 Φ5.5mm from local mills is INR39,500-40,000/t (USD632-640/t) VAT and excise duty included. Insiders predict that the market is hard to see improvement before November.
A wire rod trader in Bihar reported that the current price of wire rod SAE1008 Φ5.5mm from local mills is INR40,000/t (USD640/t) VAT and excise duty included, the same as that of last week.
The source said the local market is inactive because most players will celebrate the Diwali festival and take a 3-5 days’ holiday from October 23, and then there is another 2-day holiday. Therefore, the trading activity is not brisk. The source only holds a small stock of 600t and he plans to replenish the inventory in November when the market is likely to make progress.
Another construction steel trader in Mumbai said the current price of wire rod SAE1008 Φ5.5mm from local mills is INR40,000/t (USD640/t) VAT and excise duty included, the same as that of last week.
He said mills in India tried to raise offers but failed because most of them are burdened with huge pressure from high inventories. Besides, there are many imported products from China with low prices. The current price of wire rod from China is only USD430-450/t FOB and the CFR price is below USD500/t, much lower than the local one, so the local price is hard to move up. Revealing a monthly sales volume of 5,000t, the source also pins the hope on the market in November.
A wire rod trader in Bihar reported that the current price of wire rod SAE1008 Φ5.5mm from local mills is INR40,000/t (USD640/t) VAT and excise duty included, the same as that of last week.
The source said the local market is inactive because most players will celebrate the Diwali festival and take a 3-5 days’ holiday from October 23, and then there is another 2-day holiday. Therefore, the trading activity is not brisk. The source only holds a small stock of 600t and he plans to replenish the inventory in November when the market is likely to make progress.
Another construction steel trader in Mumbai said the current price of wire rod SAE1008 Φ5.5mm from local mills is INR40,000/t (USD640/t) VAT and excise duty included, the same as that of last week.
He said mills in India tried to raise offers but failed because most of them are burdened with huge pressure from high inventories. Besides, there are many imported products from China with low prices. The current price of wire rod from China is only USD430-450/t FOB and the CFR price is below USD500/t, much lower than the local one, so the local price is hard to move up. Revealing a monthly sales volume of 5,000t, the source also pins the hope on the market in November.
