Bulgarian domestic longs prices are on a downward trend in line with the negative sentiment in the import scrap segment in Turkey, which also results in rather aggressive import pricing coming from Turkish mills. Most buyers are in wait-and-see mode to be on the safe side if any further price decreases occur in the short term. However, trading activity is observed as the next round of the EU import quota has started and buyers are willing to buy from Turkey instead of the EU due to the more attractive ex-Turkey prices.
Following a rather sharp fall in import scrap prices, Turkish rebar prices have dropped by $90-100/mt since early this month and by $40-50/mt only over the past week. Currently, offers are at $770-780/mt FOB which corresponds to around €775-785/mt CFR, taking into account around €40/mt in estimated freight. The latest ex-Italy offers for rebar have been at €900/mt delivered to Bulgaria, which is much higher than the Turkish offers.
In the wire rod segment in Turkey, offers are also aggressive. The offer level is at around $820/mt FOB, down $70/mt and $100/mt over the past week and month, respectively. The CFR equivalent stands at around €825/mt CFR.
Long product prices have decreased by BGN 150-300/mt (€77-153/mt) over the past month depending on the product. “Demand is moderate, stock levels are low to medium, but trading activity is still low due to the wait-and-see stance on the buyers’ end as they watch to see when import scrap prices have hit the bottom.
Local prices for long products in Bulgaria, BGN/mt (€/mt) CPT
Product |
Price, CPT |
Monthly change |
||
BGN/mt |
€/mt |
BGN/mt |
€/mt |
|
2,000-2,040 |
1,022-1,043 |
-150-160 |
-77-82 |
|
2,050-2,100 |
1,048-1,074 |
-200 |
-102 |
|
Merchant bars |
2,200-2,300 |
1,125-1,176 |
-300 |
-153 |
2,700-2,850 |
1,380-1,457 |
-150 |
-77 |
|
€1 = BGN 1.956
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