Daily Steel News - 10 Apr 09

Higher priced billet pushes buyers into scrap - WSR
The recent higher billet prices from Russia and Ukraine were a major factor in Turkish buyers returning to the scrap market in volume. By early April, they had bought at least 35 cargoes. However, the question remains as to whether there is sufficient continuing global demand to support the rising prices. Regional scrap prices rose in the second half of March by some 20/tonne, whilst rebar is at $450/t fob Turkey: Iraq remains a strong buyer. In Southeast Asia, rebar prices also rebounded slightly to $410-415/t cfr, though locals said demand is not so strong. Billet too appeared to be stabilising. Rebar prices in the USA, meanwhile, were steady at around $500/s.t.

Scrap import prices stable in India
Scrap import prices into India have been stable over the past month, in contrast to the swings in international prices."The situation has not changed much from mid-March," a Mumbai-based trader tells Steel Business Briefing. He claimed to have just concluded a deal for 7,000 tonnes of industrial HMS1&2 80:20 of Brazilian origin at a net price of $250/tonne cfr Nhava Sheva port on India's west coast. Brazilian-origin is lower priced because of the long 44-day voyage it needs to get to India, he adds. SBB hears that prevailing prices for Dubai-origin containerized 80:20 are around $280/t cfr Nhava Sheva whereas Netherlands-origin was sold at $255/t cfr this week. "South African 80:20 has been sold at $270-275/t cfr Nhava Sheva," a north Indian importer tells SBB. "I have an offer for excellent quality HMS 1 rom Belgium which is almost 100% reusable for $300/t cfr," another trader says. "But the general price range has been stable this month at $250-260/t cfr west India, with fluctuations of only around $10/t." Russian HMS 80:20 and cast iron scrap are being offered at $245/t cfr and $275-280/t cfr west India, a south Indian trader tells SBB. HMS 80:20 from the US is being transacted at levels of $245/t cfr west India. Re-rollable scrap is being offered from Dubai and Kuwait at $370/t cfr, SBB understands.