TURKEY July 10 2017 12:19 PM
ANKARA (Scrap Register): Turkish HMS 1/2 80:20 scrap import weekly average prices (CFR Iskenderun Port, Turkey) gained by $3 a ton week-on-week at $276 a ton during the week ended June 23, as per the latest figures from the Steel Index.
The Turkish scrap market rose in the latter half of the week, as tight supply drove at $8 a ton increase in prices for HMS 1&2 80:20 ferrous scrap.
The benchmark index for the commodity closed the week at $281 a ton. While demand for scrap still remains somewhat subdued as Ramadan comes to a close, a few Turkish mills are in the market for July shipments, and limited supply from European and Baltic sellers is seen to be the primary reason behind prices ticking up.
The healthy domestic demand for rebar is still providing support to high scrap prices, and this demand looks set to continue, at least in the near term.
Despite strong domestic rebar demand, export prices have moved down, largely as a function of a weakening outlook in the global semi-finished steel market, as evidenced by a weaker export market.
Export prices, FOB Turkey, are at $427.50 a ton while domestic prices are currently circa $460 a ton ex-works, giving mills a spread of around $180 a ton between the two markets.