Local rebar demand in Bulgaria has weakened and prices have decreased over the past week as a result of the spread of the Covid-19 coronavirus and its effect on consumption.
Currently, domestic rebar prices in Bulgaria are at BGN 870-880/mt (€445-450/mt) CPT, down BGN 40/mt (€20/mt) since late March, SteelOrbis has learned. This price range is valid for both Stomana Industries and Promet for rebar sales from the mills’ stock, while the same level is applicable for traders’ offers. It is stated that both mills are running their production with no disruptions for now. “As most of the European mills are not operating, maybe after mid-April they will be more active,” a source said. In addition, Bulgaria’s domestic wire rod prices are currently at BGN 910-920 (€465-470/mt) CPT, while the price range for merchant bars is at BGN 960-1020 (€491-522/mt) CPT depending on the size.
In the import segment, offers from Turkey are at around $380/mt FOB for rebar and at $405/mt FOB for wire rod, with freight estimated at around $10/mt. Despite the rather attractive prices, the interest is limited since some volumes have been arriving under the EU “others” quota, while the new round of quotas will be opened on July 1. The same situation exists in the merchant bar segment, while offers from Turkey have been coming at €400-415/mt CFR Bulgaria, SteelOrbis has learned.
€1 = BGN 1.955