Posted on 10 Sep 2024
The first round of rebar bookings for September delivery concluded with a decrease of almost 10-20% in tonnage compared to August for secondary mills in the United Arab Emirates and Oman.
These suppliers increased their prices by AED 50-70/tonne ($14-19) compared to August in the domestic market. Qatar Steel FZE maintained its August prices for September deliveries and ended up slightly exceeding its monthly allocations, Kallanish learns.
In the first round, average transaction prices of secondary suppliers in Dubai were at AED 2,160-2,170/t delivered against LC 90 days, while local suppliers in Abu Dhabi averaged at AED 2,320/t on the same payment and delivery conditions.
Dubai retail market prices increased to AED 2,220-2,250/t for non-benchmark mill material and to AED 2,330-2,350/t for benchmark mill rebar, on credit and delivered to the buyer’s yard. Retail quotes in Abu Dhabi are almost the same as in Dubai.
The benchmark mill concluded spot sales last week at around AED 2,148/t, averaging its September quote at around AED 2,330-2,335/t delivered, excluding the rebate.
Traders are carrying almost one month of stock and may run short of rebar from the secondary mills, leading to additional bookings for extra quantities later this week.
Source:Kallanish
