The unfavorable currency situation in Egypt has been deepening quite significantly in recent weeks, taking a toll on daily business operations, including those in the steel sector. As a result, the local steel giant Ezz Steel has increased its domestic offers in the local currency, aiming to keep the dollar equivalent of the prices at acceptable levels. Currently, the rate is evaluated at $1 = EGP 70.25 versus $1 = EGP 65.3 a week ago.
Currently, Ezz Steel is offering long steel in the domestic market at EGP 55,280/mt ex-works or around $690/mt ex-works, according to the current unofficial exchange rate. The price has increased by $23/mt (EGP 6,980/mt) compared to the latest announcement last week. In the meantime, at least one of the other Egyptian mills is offering rebar at EGP 55,520/mt ($593/mt) ex-works.
In the flats segment, Ezz Steel has made an even larger adjustment, by EPG 9,800/mt or $57/mt to EGP 59,100/mt ($738/mt) ex-works compared to last week, SteelOrbis has learned.