Business remains hectic in the scrap market these days, resulting from the positive situation in Turkey and the generally limited number of cargoes available. Finished steel prices have continued to rally on the back of exports and in the local markets globally, in Russia in particular. As a result, scrap exporters have once again increased their purchase prices in the Baltic and Rostov regions of Russia, aiming to secure tonnages while the sales pricing for scrap implies high margins for them.
According to sources, the A3 purchase price in St. Petersburg has increased by $11/mt (RUB 1,000/mt) since earlier this week to $321/mt (RUB 23,600/mt) CPT. In the Rostov area, the increase over the week has been even bigger. The exporters’ purchase price levels for A3 grade have increased by $25-35/mt (RUB 1,800-2,500/mt) to $340/mt (RUB 25,000/mt) CPT, SteelOrbis has learned. Moreover, most market players do not foresee any trend reversal soon and expect scrap prices to rise further.
Prices exclude 20 percent VAT.
$1 = RUB 73.46