The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) increased by $4.16/mt to $247.08/mt cfr on Wednesday due to strong demand and higher prices because of a short-sea booking.
Deals are sporadic in the ferrous scrap market in Turkey amid tight supply. Since deep-sea offers are scarce and at a minimum of $260/mt cfr for HMS 1&2 (80:20) from the USA or the Baltic region, several mills are actively looking for short-sea cargoes.
Availability of scrap from the Azov-Black Sea basin is also limited, but a Karadeniz-based mill accepted a cargo from Russia (Rostov-on-Don) at a higher price. The deal was closed at $248/mt cfr for 3,000mt of A3 scrap.
Turkish steelmakers require scrap and considering the shortage of imported material and price increase for it, mills raised purchase prices for domestic material. Thus, purchase prices for shipbreaking scrap increased by $15/mt to $235/mt delivered on Wednesday from $220/mt on Tuesday.
Local rebar spot prices were unchanged in Karabuk and increased by TRY20-50/mt ($3-7/mt) in Istanbul, Izmir, and Iskenderun. As a result, prices settled in the range of TRY3,220-3,260/mt ex-works, including 18pc VAT, on Wednesday.
Icdas raised local rebar prices by TRY120/mt ($18/mt) to TRY3,320/mt ex-works, including 18pc VAT, in Biga.
($1 = TRY6.79)