Turkish avg HMS 1/2 80:20 scrap import prices rise $14 a ton m/m in April

TURKEY May 15 2014 9:05 AM

ANKARA (Scrap Register): The April average benchmark index for Turkish imports of HMS #1&2 80:20 rose by 3.8% or $14 a ton month-on-month, as per the latest figures released by the The Steel Index.

According to TSI, the daily index peaked at $386 a ton in the first week of the month, before falling back to finish at $375 a ton.

Early April saw the continuation of the rise in Turkish scrap pricing seen since mid-February, with TSI’s benchmark daily Turkish HMS #1&2 80:20 index reaching $386 a ton in the first week of the month.

This was driven by improving rebar demand and pricing, along with the continued absence of US scrap suppliers to the Turkish market creating a pinch in supply.

However, from the peak of $386 a ton, TSI’s daily Turkish scrap index subsequently went on to fall $10 a ton over the course of the rest of the month to finish at $376 a ton.

Prices moved steadily downwards as no further price increases for rebar were achievable for Turkish steel producers, and US scrap suppliers re-entered the export market, meaning steel producers had more room for manoeuvre in negotiations.

Towards the end of the month prices stabilised, with both producers and suppliers seemingly content with pricing levels. Despite mostly bearish sentiment prevailing in the market, prices hovered around the $375-377 a ton level for the final ten days of April, with the usual spring upturn in scrap flows into yards yet to have much of an impact on the market.