With the support of good demand and low stocks, local rebar prices have surged in Poland over the past week. Mills’ offers have risen by PLN 200-250/mt (€45-56/mt) to PLN 3,900-4,050/mt (€875-908/mt) ex-works. Supply availability remains quite low in the market, while producers are also offering only in limited volumes for June production. In addition, many buyers are in a hurry to book for July because end-user demand in the country is strong.
"Stocks are low and demand is strong, and producers are not facing any problems even though prices are high. The market has already accepted the new levels and many expect further increases when July production availability tightens. It is better to restock at higher prices now and nobody expects any decline at least until the summer holidays," a trader told SteelOrbis.
On the import side, the sources are still limited due to strong local demand seen in the countries traditionally supplying to Poland. During the past two weeks, ex-Moldova deals have been heard in the market at €770/mt CPT for July deliveries. Also, sellers from Italy, according to sources, have been selling to Poland at €800/mt CPT, again for July deliveries. However, the sales volumes of rebar of both origins have been limited.
Prices exclude 23 percent VAT.
PLN 1 = €0.2243