Rebar Prices witnessed a decline across various regions of India; this has been due to a seasonal slowdown in construction activities and high mill inventories. Mills in Raipur, Durgapur, and Jalna slashed prices in response to sluggish trade movement and tepid buyer sentiment.

In Raipur, 12–25 mm Fe 500D rebar price stood at ₹41,000/t (ex-works), reflecting a drop of ₹800/t on w-o-w basis. Durgapur also faced a decline of ₹500/t to ₹41,200/t, while Jalna experienced a price fall of ₹1,000/t, closing at ₹40,900/t. This marks the fourth straight week of decline, bringing IF-route rebar prices near their lowest levels in the past nine months.

The correction in finished steel prices was mirrored by softening in most key raw materials. Sponge iron prices dipped by ₹100/t to ₹24,650/t in Raipur. However, steel billet prices showed signs of recovery, reversing part of their earlier losses. Billets in Raipur and Durgapur ticked up marginally (₹100–200/t) in late-week trading, hinting at improving sentiment or at least a bottoming out of semi-finished steel prices. This rebound was partially supported by various export inquiries from Southeast Asia and the Middle East.

The price differential between secondary (IF-route) and primary (BF-route) rebar has widened to a significant ₹10,000–₹10,500/t. While IF-route 500D rebar hovers around ₹41,000–41,200/t ex-plant, primary mills continue quoting ₹51,000–51,500/t for Fe 550D in western and northern India.

This gap underscores the pressure on secondary producers’ profitability. Despite falling input costs, weak realizations, and poor liquidity in trade, margins are eroding, forcing several mills to adopt a wait-and-watch situation.

Outlook:

Although the market stayed weak this week, the slight recovery in billet prices suggests that rebar prices might be bottoming out. If semi-finished steel prices continue to strengthen and construction activity picks up in the next couple of weeks, mills could start holding prices steady or even raise them slightly.

However, in the coming weeks, rebar prices are likely to stay rangebound or see a mild upward trend, especially in regions like Raipur and Durgapur where billet movement has a stronger influence. Raw material prices are expected to stay mixed. Sponge iron could remain flat or slip further, while billet prices may continue inching up.