Secondary Structure Prices Fall By Rs 200/ton in Raipur, Mandi and Durgapur Market

Structure Price

Secondary Market: Raipur down by 200, Mandi down by 200, Durgapur down by 200, Hyderabad stable and Chennai stable. In Primary market SAIL, RINL & JSPL have roll over the same rates.

Current Base Prices

52000/- (Ex Durgapur)

55500/- (Ex Chennai)

54000/- (Ex Hyderabad)

54500/- (Ex Ahmedabad)

54000/- (Ex Ghziabad)

Secondary Structure Prices

Raipur : 46100/-

Hyderabad: 46900/-

Raigarh: 46100/-

Chennai : 48000/-

Mandi Gobindgarh - 46900/-

Durgapur - 44300/-

Structure Demand and Supply

Primary Structure

Despite advancements, RINL's round bar production has not kept up with demand. Some steel round bars are still unavailable in market. In certain instances, major structural sections remain unseen in the market. The ones getting noticed are fetching a premium because of their scarcity. Primary structure supply is currently a major issue due to the lack of materials available in the market.

Secondary Structure

Secondary mills started operation after a small protest giving rest to the shortage speculation. Secondary structure material is now available in the market. New speculation is on the coal shortage expectancy from Indonesia due to monsoons, which might put stress on new production but as of now no shortage in supply is noticed.

Structure News

• SAIL sees steel prices slipping further in current quarter
• Steel Authority of India anticipates a further Rs 1,000 per tonne drop in its blended realizations this quarter due to the pressure from cheap Chinese imports on local steel prices. In the June quarter, net sales realization for blended steel prices was Rs 53,700 per tonne, marking a decline of Rs 800 from the March quarter.
• Steel Authority of India expects its blended realizations to sequentially fall another Rs 1,000 per tonne this quarter, as local steel prices continue to be weighed down by cheap Chinese imports, a senior executive said.

Expert Opinion

This month's primary market structure prices are rolling over due to the monsoon's reduced demand. As a result, wholesalers are now offering discounts on mostly section. RINL Round bars are in high demand causing increased prices, subject to availability. The secondary mill owners' decision to go on strike failed, and as a result, the market finally declined even more as a result of the persistently low demand. The structure market appears to be in a downward trend this month.