Posted on 20 Feb 2024
Riyadh's third-tier mills have reduced rebar prices due to low demand and the need for liquidity. For volumes above 3,000-4,000 tonnes, a few mills have reduced their prices to SAR 2,110-2,115/tonne ($563-564) from SAR 2,150-2,160/t, ex-works against cash. In Dammam, however, third-tier mills are still holding their quotes at SAR 2,185-2,200/t, notes Kallanish.
The market is still muted, and the local benchmark mill's rebar is at SAR 2,280-2,300/t in the wholesale market (between traders) and at SAR 2,300-2,325/t in retail, delivered against cash. Ramadan and the rebate paid on 2023 sales by opening credit notes will coincide in March.
The benchmark mill has yet to start supplying 18mm and 20mm straight bars and Grade 60 d-bar in coils of 8-10-12mm, widely used by fabricators and cut-and-bend facilities.
"The market has lost its navigation, and no one knows what the prices and demand for rebar will be in the coming month of March," is the opinion of one sector participant.
Source:Kallanish
