Indian Large Players Re-bar Inventories Fall to Around 650,000 MT in Oct- SteelMint

Inventories of construction steel re-bar with large mills in India dropped to ~650,000 MT at the end of October, according to recent survey done by SteelMint.

According to estimates, these numbers were about ~900,000 to 950,000 MT at the end of September. Large mills (specially private) have been aggressively liquidating their inventories since Sept end.

Large steel players (BF route) produces about 14 MnT per annum. RINL being the largest player, followed by JSW

Price gap narrows between large and medium mills

It is observed that price difference between large mills and medium mills have narrowed down significantly. 12-25mm re-bar prices by large mills were assessed at INR 33,500-34,000/t ex-Delhi in Oct'19 (before price hike of Nov) against INR 32,000/MT of mid sized mills. May'19 rebar average price of mid sized mills INR 37,450/MT by mid sized mills on ex-Delhi basis and price gap between large and medium mills generally stay between INR 4,000-4,500/t.