TURKEY July 12 2017 4:37 PM

ANKARA (Scrap Register): Turkish HMS 1/2 80:20 scrap import monthly average prices (CFR Iskenderun Port, Turkey) advanced by 1.5 percent month-on-month to $276.68 a ton during the month of June, as per the latest figures from the Steel Index.

Prices for imported HMS 80:20 scrap into Turkey remained tightly range bound for the first three weeks of June, between $273/ ton and $276/t due to Ramadan. The back-end of the month saw a number of reported trades into Turkey, including from the US, which in turn pushed the TSI index closer to $290/t.

Due to Ramadan occurring during the month of June, trading is historically quiet across the month. There was however a steady flow of material finding its way into Turkey, albeit all in a very tight range.

Over a period of four weeks leading into June all trades recorded were in a tight range of only $3/t.

Buyers and sellers seemed content with the price level of $273/t as mills still had good margins due to rebar pricing around $160/t over 80:20 grade scrap.

As a result of the slow demand for the first half of the month freight rates began to drop, reaching a low of $12/t.

The back-end of the month saw prices begin to increase as a result of tight supply, resulting in prices breaking through $280/t. Although demand for scrap remained somewhat subdued, a few Turkish mills began entering the market for July shipments.

Moreover, limited supply of scrap from European and Baltic sellers as well as strong domestic demand for rebar further supported the uptick in prices.

US exporters returned to the market near the end of the month, after a near four week absence in reported trades, in turn resulting in further increases in prices.