After a downfall of domestic billet offers for almost 2 weeks, market recovered and offers went up a bit last week. Still market participants expect downward trend of billet in Iran market continue in coming weeks.
As per SteelMint’s assessment, domestic billet offers during the beginning of week 52 (22 Dec- 27 Dec’18) was noted to be around IRR 28,290/KG (USD 674/MT). On next day, offers increased to IRR 30,100/KG (USD 717/MT). During the mid-week, offers went up further to IRR 30,280/KG (USD 721/MT). Towards the end of week billet offers started declining, domestic market offers were noted to be around IRR 29,400/KG (USD 700/MT).
IR Steel quoted, “Market was faced with some positive changes such as canceling zinc trade limitations at IME and its export obstacles improved. DRI export also became free. But slab and billet export still are in some troubles. Many market participants expect downward trend of billet in Iran market continue in coming weeks. A main reason is DRI price which has declined by 10% to USD 291/MT. This downward trend has made market players more worried and staying out of the market”.
| Commodities | 22/12/2018 | 23/12/2018 | 24/12/2018 | 25/12/2018 | 26/12/2018 |
| Scrap | 19,960 | 20,670 | 22,210 | 21,480 | 23,430 |
| Billet | 28,290 | 30,100 | 30,280 | 30,030 | 29,460 |
| Rebar | 33,880 | 35,360 | 36,780 | 36,610 | 36,520 |
| Difference between Scrap-Billet | 8,330 | 9,430 | 8,070 | 8,550 | 6,030 |
| Difference between Billet-Rebar | 5,590 | 5,260 | 6,500 | 6,580 | 7,060 |
Source: Planner
Unit in IRR/KG
Domestic Scrap and Rebar Offers Went up
Domestic scrap offers during week 52 were noted to be around IRR 19,960- 23,430/KG (USD 475-558/MT). Scrap offers increased almost by 10% W-o-w. On parallel line, rebar domestic offers were down in week 52. As per SteelMint’s assessment domestic rebar offers were noted to be around IRR 33,880- 36,780/KG (USD 807-876/MT)
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