Speed breaker ahead: Steel products in short supply
Steel

Speed breaker ahead: Steel products in short supply

Housing and construction projects outside urban markets have been witnessing a slowdown for a few months with reports from dealers and buyers of a shortage of long steel products, such as bars, rods, and wires.

Construction steel, mostly produced by small, secondary steels mills spread across the eastern and southern regions has been in low-supply as many micro, small and medium enterprises (MSMEs) grapple to counter the effects of the pandemic on capital and labour as well as exorbitant iron ore prices.

As per analysts, the shortage is being felt severely in non-urban markets, where large integrated steel mills do not have a marketing presence, and where building projects may be delayed.

The shortage is being credited to the scarcity of iron ore in the local market.

In India, construction steel producers, mostly medium-sized enterprises producing unbranded thermo-mechanical treatment (TMT) bars and rebars at plants of under 2 mt per annum capacity, are unable to keep up with the increasing input costs due to lack of pricing power to pass on the rise in prices to their customers.

Access steel price trends here.

Image Source


Make in Steel 2021

24 February 

Click for event info

Housing and construction projects outside urban markets have been witnessing a slowdown for a few months with reports from dealers and buyers of a shortage of long steel products, such as bars, rods, and wires. Construction steel, mostly produced by small, secondary steels mills spread across the eastern and southern regions has been in low-supply as many micro, small and medium enterprises (MSMEs) grapple to counter the effects of the pandemic on capital and labour as well as exorbitant iron ore prices. As per analysts, the shortage is being felt severely in non-urban markets, where large integrated steel mills do not have a marketing presence, and where building projects may be delayed. The shortage is being credited to the scarcity of iron ore in the local market. In India, construction steel producers, mostly medium-sized enterprises producing unbranded thermo-mechanical treatment (TMT) bars and rebars at plants of under 2 mt per annum capacity, are unable to keep up with the increasing input costs due to lack of pricing power to pass on the rise in prices to their customers. Access steel price trends here. Image SourceMake in Steel 202124 February Click for event info

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code