North African flat rolled markets still fail to see desired recovery

The flat rolled markets of North African countries have still not fully recovered following the political turmoil they have been through. Demand is performing better in general, though the domestic markets of the region have still failed to see the desired revival of demand. Inventory levels for flat rolled products are not so high; however, due to the low demand levels, no proper buying activity has been formed in the region yet.
 
In Egypt, local producer EZDK has maintained the same price levels as in the previous month, as mentioned in last week's analysis. Thus, the domestic prices of EZDK are more competitive compared to import offers and so domestic buyers prefer to meet their requirements from this mill. However, export offers given by EZDK at $790-800/mt FOB are too high to attract acceptance in the export markets for the time being.
 
In Tunisia demand continues to be quiet, though buying activity is reportedly reviving as inventory levels are down. Import offers to this market are most competitive from Russia; however, offers from European producers are found to be too high due to the exchange rate, as reported by buyers in Tunisia. Morroco-based Maghreb Steel is reported to be offering to this market as well, with its hot rolled coil offers standing at €575/mt CFR.