Demand for ex-CIS billet at decent levels

During the past week, ex-CIS billet export quotations have increased by $5/mt on the upper end to $390-410/mt FOB.
 
Demand for ex-CIS billet in Turkey has improved slightly due to the rapid rises seen recently in Turkish domestic billet prices, and so Turkish buyers are still making price inquiries for ex-CIS billet. CIS-based suppliers' billet offers to Turkey have increased by $5/mt on the upper end week on week to $410-430/mt CFR. Turkish rolling mills are cautious as regards concluding new deals for ex-CIS billet within the scope of Turkey's inward processing regime (under this scheme mills have to give a commitment to export the finished products they produce from imported billet) as their finished steel export sales are very tepid, while liquid steel producers in Turkey prefer to continue their production with scrap.
 
In the meantime, ex-CIS billet offers to Egypt have remained stable for the third consecutive week at $410-415/mt CFR. Egyptian buyers continue to conclude deals for ex-CIS billet in this price range amid ongoing construction projects in Egypt. On the other hand, it is thought that the rises seen in the local Egyptian rebar market may cause an acceleration of billet purchases from the CIS region in the coming period.