Turkish mills raise their domestic scrap prices amid exchange rate fluctuation

Turkish mills’ domestic scrap procurement prices have been raised over the past two weeks as Turkish lira continuously lost strength against the major currency. Also, some Turkish mills report that they are buying high grade scrap from the local market for a long while, though they also report that the availability in the local market has declined sharply. “Since we have bought more than we usually do, we observe that allocations are on the low side. It is becoming hard to find the qualities we need,” a source from a major Turkish mill said this week. The upward movement in the local Turkish scrap market has been by TRY 100-725/mt or $1-16/mt over the past week. Some producers have kept their prices stable in this period which caused dollar-based prices to decline by $2/mt. 

The general range in the local Turkish scrap market for the benchmark DKP grade scrap has moved from TRY 12,400-14,000/mt to TRY 12,800-14,600/mt. Due to the fluctuations observed in the exchange rate, the dollar-based quotations have changed from $301-340/mt to $309-353/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 41.37