The longs price situation in the Mediterranean and North African region has not seen much change after the holidays, considering that scrap prices have been firm and are even showing an additional upward movement. At the same time, overseas demand has not quite returned yet, especially in European countries. Therefore, North African suppliers have preferred to maintain their export offers for rebar and wire rod unchanged and to wait for a clearer market situation.
Export longs prices from Egypt have settled this week at $545/mt FOB for rebar and $555/mt FOB for wire rod, both available for February shipments. In the domestic market, Ezz Steel remains at the discounted price of EGP 34,200/mt ($635/mt) ex-works, while some of the producers in the country are offering at EGP 33,700-34,000/mt (625-630/mt) ex-works. In the meantime, the most aggressive price levels are coming from smaller producers - at EGP 31,000-31,500/mt ($575-585/mt) ex-works. Local demand is said to be at moderate levels, but not enough to increase prices. In the meantime, local billet prices in Egypt are now at EGP 28,000-28,500/mt ex-works or $520-530/mt ex-works which implies workable import billet levels at around $430-435/mt CFR tops, SteelOrbis evaluates. The latest indications from Russian suppliers stood at the end of December at $470-475/mt CFR, from China have been at $485-487/mt CFR.
In Algeria, one of the exporters is in the market with $535/mt FOB for rebar, while some of the buyers reported its wire rod offers at $540-545/mt FOB, both for February shipments. Another mill is out of the market, concentrating on domestic sales. In the meantime, in Algeria there is an ongoing strike in the transport segment, which is putting pressure on operations in the steel sector, SteelOrbis has learned.
In Israel, rebar import offers from China have been reported at $560-570/mt CFR, while the Russians have remained at $575-580/mt CFR. In the meantime, Turkey’s suppliers are offering rebar at $560-570/mt FOB, but at $600-605/mt CFR Israel. The domestic price levels of rebar in Israel have been reported at $675/mt ex-works/CPT.
Local prices in EGP exclude 14 percent VAT.
$1 = EGP 47.23.