Primary TMT Market Update: Prices High Amid Supply Constraints
The primary TMT market is experiencing an upward price trend due to limited material availability and upcoming plant maintenance. Prices have risen across key regions, and distributors expect further increases in November. Despite slow demand, driven in part by the festive season, the scarcity of materials is pushing prices higher.
Key Takeaways
- Price Increase: TMT prices have risen across north, west, and south regions, with further hikes expected due to material shortages and upcoming plant maintenance.
- Slow Demand: Festive season demand has slowed, but supply constraints are driving prices up.
- JSW Acquisition of Thyssenkrupp: JSW Steel, in partnership with JFE Steel, is acquiring Thyssenkrupp Electrical Steel, a move that will bolster their steel production capabilities in India.
Primary TMT Latest Prices
- Prices are as follows (size 12 to 32mm): Ex-Mumbai: Rs. 54,500-55,000/ton Ex-Delhi NCR: Rs. 54,500-55,000/ton Ex-Vizag: Rs. 52,500 - 53,000/ton
- Note - Distributors across north, west and south have increased prices. Above pricing is based on the same.
Primary TMT Demand & Supply Trends
- The demand in the market seems slow and the prices are showing uptrend because of scarcity of material. The distributors are saying that SAIL ISP plant will be going under-maintenance. They are expecting another price increase in the month of November. A clear picture may emerge in 1-2 weeks. The festive season could hit the demand pattern further.
Primary TMT News
- JSW Steel, through its subsidiary, is acquiring Thyssenkrupp Electrical Steel India for Rs 4,051 crore. This acquisition will provide JSW and JFE with advanced technology for producing grain-oriented electrical steel (GOES) and create a fully integrated supply chain in India.
Explore more industry updates and primary TMT news here!
Expert Opinion
- The distributors have shortage of material as the demand & supply pattern is disrupted because of material allocation through wagons. The flow of enquiries is less because of the festive season. Distributors are expecting further price hike in the coming days because the plants are expected to go under maintenance in the month of November.