Imported scrap prices in Turkey have edged up further this week following increase in domestic rebar prices over strong demand. Turkish Lira drops to record low.
Steel mills in Turkey continued to remain active in restocking imported scrap cargoes for May. In the recent deep sea cargoes booked, prices assessment has increased marginally against last bookings.
Price assessment for Baltic origin HMS (80:20) is at USD 345-346/MT, CFR Turkey and US origin HMS (80:20) around USD 355-356/MT, CFR Turkey. The price assessment is up by USD 3-4/MT on weekly premises.
Market sources expect imported scrap prices in Turkey to remain firm in coming months.
Earlier this week, a Turkish steel mill booked 28,000 MT scrap from SIMS Canada comprising 20,000 MT Shredded, 6,500 MT HMS and 1,500 MT P&S at an average price of USD 363/MT, CFR.
Domestic rebar prices in Turkey rise on currency depreciation – Major steel mills in Turkey have raised offers amid increased demand as buyers are procuring material in anticipation of further hike in prices in near term. Rebar domestic prices have increased this week to USD 570-580/MT (ex-works) compared to USD 555-570/MT (ex-works) last week.
Turkish lira drops to record low – Turkish lira has dived to new low against USD after govt. said inflation is running higher than expected. Turkish Lira (TRY) depreciated by almost 1.5% against USD in a weeks’ time. Today USD/TRY rate depreciated further and stood at 4.23 which was trading at around 4.07 a week ago.
Widening current account deficit, preponing of upcoming elections are few of the major reasons that have resulted in Turkish currency depreciation.
Despite sharp depreciation in Turkish Lira, steel mills continued to book imported scrap owing to hike in steel prices.
But further decline in Turkish Lira may resist bookings as imported cost may rise.
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