Local Turkish scrap market changes trend

Over the past week, all Turkish mills’ local scrap procurement prices have moved up by TRY 150-1,450/mt. However, the Turkish lira has been depreciating against the US dollar this week, and so the lower end of the increase on lira basis has resulted in a $3-6/mt decrease in dollar-based quotations, while the other increases have resulted in a $2-76/mt increase on dollar basis. These rises observed in the Turkish lira prices are an effort to offset the fluctuations in the exchange rate, as well as to secure the tonnages mills need as Turkey’s import scrap market is now believed to have hit the bottom.

As a result, the general range in the local Turkish scrap market for the benchmark DKP grade scrap has increased from TRY 6,000-7,750/mt to TRY 6,800-7,950/mt, while prices on US dollar basis have been revised from $378-488/mt to $415-485/mt.

All above prices are for deliveries to customer and exclude VAT. Exchange rate fluctuations are taken into consideration when calculating the dollar-based price changes.

$1 = TRY 16.40