Billet markets in Turkey and CIS register sideways movement

Thursday, 26 November 2009 10:20:51 (GMT+3)   |  

Under the influence of raw material-driven uptrend of recent weeks, billet prices in the CIS and Turkey have not registered any softening this week, while CIS producers' offers are not seen under the levels of $405-410/mt FOB due to the fullness of their order books for December.

While ex-CIS billet offers to Turkey have this week been at $420-425/mt CFR, it is observed that Turkish buyers have delayed their purchase activity due to the holidays and the uncertainty in the market. In the local Turkish market, where no great trading activity is seen, billet prices have this week been at $430-440/mt ex-works excluding VAT. However, no great interest has been observed in these prices from mills that produce rebars for the local market, due to the ongoing lack of end-user demand in Turkey in the pre-holiday period. On the other hand, Turkish billet offers to the export markets have this week been at $430-435/mt FOB Turkey.

In general, the price uptrend in billets has not yet received support from the finished steel product side, mainly due to the delay in purchase activity by Muslim countries caused by their approaching holiday. According to market players, demand after the holiday will likely determine the strategies of billet producers.


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