The official domestic rebar price in Egypt from the main mill is still at EGP 39,800/mt ($675/mt) ex-works, while other suppliers in the country are mainly offering at EGP 36,800-37,200/mt ($625-630/mt) ex-works. Local billet prices in Egypt have also stabilized, at EGP 33,500-34,000/mt ($567-575/mt) ex-works. Most market players report that demand has been quite slow domestically due to seasonal impacts on construction activity as well as certain liquidity issues persisting in the country.
As regards exports, Egyptian suppliers have been forced to step back from the previous offers by around $10/mt, considering low sales activity particularly in the European market. The official rebar export prices are now at $600-610/mt FOB, down from $610-620/mt FOB available earlier, while wire rod is mainly available at $620/mt FOB, down from $620-630/mt FOB. Most offers are for July shipments, which is a sign of relatively slow sales from Egypt. Moreover, sources believe $590-595/mt FOB levels should be workable at the moment due to low international demand and competition with Turkey. In particular, offers to non-EU countries in the Balkan region stand at $610/mt CFR. In Saudi Arabia, demand is still seen for Egyptian wire rod, with prices standing at $650-665/mt FOB or $685-700/mt CFR LO Jeddah.
In Algeria, domestic rebar offers have remained at DZD 116,000-117,000/mt, equal to around $730-735/mt ex-works, while wire prices from the main producer are at DZD 118,000/mt ($743/mt) ex-works. Currently, no firm export offers have been reported from Algeria since local mills are concentrating on the domestic market where there has been a certain shortage of supply following a revamp at one of the rolling mills. Some buyers expect to receive export indications next week, evaluating the probable levels at $580-590/mt FOB depending on the mill and the product.
Local prices in Algeria include 19 percent VAT, while in Egypt they include 14 percent VAT.
$1 = EGP 51.85
$1 = DZD 133.39
