TMT bars are indispensable in the entire construction sector. The total budget of a project can be influenced by the TMT bar price directly, be it is a housing, a commercial, or an infrastructure work-related project. Due to the remarkable growth in the construction industry last year, many of its customers and sellers are observing the price fluctuation.
The article explores the TMT bar price today compared to that of the last 12 months, and also the reasons behind the changes in that price.
TMT bar prices in India are not the same and vary from place to place due to the region, the local demand, and the cost of transportation. Presently, the normal price of the TMT bars (for the standard 12mm size) is approximately ₹56,000-₹63,000 per metric ton. The cities such as Delhi, Mumbai, Chennai, and Kolkata have a few differences, but the overall price has remained constant for the previous few weeks.
If we compare the TMT bar price today with the same time last year, they were of lower value. Last year, the typical market price was anywhere from ₹52,000 to ₹58,000 per metric ton. This implies that prices have risen by about ₹4,000 to ₹5,000 per ton in the span of one year.
Although the increase might come as a surprise, the reality is that for large-scale construction work or when buying products in large quantities, even a per-ton price change of a few hundred can seriously affect the total cost of the venture.
The hike in TMT bar costs during the past year is related to a number of very significant factors. One of the most important ones is the shift in the costs of the raw materials. Iron ore and coal, the major ingredients used to make TMT bars. They have been going through a rollercoaster in both local and international markets. Cost fluctuations in raw materials are indeed responsible for the price change in TMT bars.
In addition, the price of fuel and transportation has also seen a spike in the last year. The increased diesel fuel costs and the supply chain issues, especially in the affected regions, have made it more expensive to move the raw materials and finished steel products.
There has been an expansion in construction operations following the lull caused by the pandemic. The increase in the number of residential and commercial properties has raised the demand for construction materials. This change in demand is also one of the factors affecting the TMT bar price today.
The price of TMT bars additionally depends on the season. Summer and post-monsoon months usually have the busiest construction activities which result in a surge in demand. In the rainy season, predominantly in the months of July and August, the demand for construction and hence that of TMT bars is low. For shoppers, it is really beneficial to be aware of these seasonal patterns while making their shopping plans.
It is crucial not only to compare the TMT bar price today with the past prices but also to take a look at the quality and the brand reputation. If one purchases from a reliable source, the bars will surely adhere to requirements such as durability and corrosion resistance.
Local suppliers’ low quotations may seem attractive to buyers. However, those quotes may not reflect the final sales price since the delivery, GST, and other costs might be added on top. Therefore, project buyers should make it a point to understand not only the quoted price but also the final price.
When it comes to the comparison of TMT bar price today and the price from last year, we can see that what we will get is a quite clear upward trend. It should be noted that this price hike is due to factors such as the increase in transportation costs, the growth of the construction industry, and the scarcity of raw materials.
Prices are forecasted to stay high as a result of the uninterrupted growth of infrastructure and construction. Under such circumstances, buying on time can bring significant benefits in both the cost reduction and the success of the project.
