Price of reinforced steel bars has registered a marginal increase and has moved up – from $475 (Dh1,745) per tonne last week to about $490 per tonne. The booking prices, especially from Turkey, have increased due to rise in cost of raw materials and non-availability of stocks.
According to traders from Dubai, steel prices will only improve from here on as it has already hit rock bottom.
Mustafa Shah, a senior sales official from Khambati Steel Trading, yesterday told Emirates Business that one of the main reasons is the non availability of stocks. "The UAE had abundant stocks which, coupled with the crash in demand, brought down prices. The stocks are fast getting over and customers have started enquiring again," said Shah.
"The stocks in the yards have disappeared and the supply-demand ratio has balanced out and Turkish mills are slowly hiking the price again," he said.
Reports indicate Turkish rebar price is being hiked in line with more demand and increase in the price of scarp and square billets. Currently, Turkish rebar export price is $465 per tonne, and is being increased to $490 per tonne. "Traders are trying not to increase stock as they are not sure about the market demand," he said.
Meanwhile, price of structural steel is going steady at between Dh2,300 and Dh2,500. Louis Dante, Marketing Executive, Al Nimr Steel, said: "Unlike rebar we have not witnessed massive fluctuation in prices."
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