The prices of wire rod in the Brazilian domestic market have increased by 7 percent, a major producer told SteelOrbis.
According to the source, the mesh grade product is now sold at BRL2,803/mt ($1,068/mt), CFR, full taxes, while the drawing grade product is sold at BRL3,135/mt ($1,194/mt).
The 7 percent increase in BRL, to compensate for the local inflation in 2014, has reached 8.2 percent in $ terms, reflecting also the variation of the BRL vis-à-vis the $.
During December, Brazil exported 27,500 mt of wire rod, 86 percent more than in November, at an average FOB price 4 percent higher, $569/mt, pointing to the mesh grade exported at $515/mt and the drawing grade exported at $581/mt.
For the whole 2014, the country’s exports of wire rod went down by 3 percent to 216,300 mt, at an average FOB $630/mt, 4 percent less than the $657/mt of 2013.