Last week, the purchase prices of metal enterprises for ferrous scrap remained unchanged at the level of UAH 5700/mt. The current price is quite satisfactory for buyers. The profitability of purchasing ferrous scrap remains above the standard value. Expectations of an increase in the cost of scrap from the beginning of November to UAH 5900/mt have not yet come true.Supplies to metallurgical plants
Ferrous scrap deliveries to steel plants decreased to 62.4 thousand tons compared to 63.6 thousand tons in the previous week. The demand for scrap was 69.2 thousand tons. The level of meeting the needs of metal plants for scrap last week amounted to 91.1%.
Remains in the ports of Ukraine
Scrap stocks in ports increased to 1.4 thousand tons. compared to 1.1 thousand tons in the previous week.
Dynamics of steel smelting
Steel production increased to 436 thousand tons, compared to 417 thousand tons in the previous week.
Warehouse stocks of scrap at metallurgical enterprises
Remains of scrap in warehouses of metal plants decreased to 113 thousand tons compared to 118 thousand tons in the previous week. Inventories in days of operation are 12 days, which is in line with the standard value.
Domestic scrap price forecast
In the domestic market of Ukraine, factories may increase purchase prices against the background of rising billet prices and a high probability of an increase in the cost of scrap metal in foreign markets. The forecasted average price next week is UAH 5900/mt.
Source: "Ukrpromvneshexpertiza"
