Last week (September 24 – October 1), metallurgical enterprises kept their purchase prices at the level of UAH 8,000/mt. The profitability of scrap metal purchases is above the standard value. The current purchase prices for scrap are comfortable for the work of Ukrainian factories.
The prices of scrap collecting companies for grade 3 scrap in the regions were at the level of 6.46-6.51 thousand UAH per ton. The upper border of the price range prevails in the southeastern regions of the country.
Supplies to steel plants
Scrap deliveries to metallurgical plants (September 23–29) decreased to 61.4 thousand tons. In the previous week (September 16-22) there were 65.7 thousand tons. The demand for scrap was 58.2 thousand tons. metal plants in scrap last week amounted to 106.6%.
Remains in ports
Scrap stocks in ports decreased to 1 thousand tons. Last week it was 1.1 thousand tons.
Smelt steel
Steel production on September 23–29 decreased to 396 thousand tons. Last week (September 16–22) it was 407 thousand tons.
Scrap stocks at metallurgical enterprises
Remains of scrap in warehouses of metallurgical plants as of September 30 increased to 160 thousand tons. Last week it was 154 thousand tons. Inventories in working days are 19 days, which is 7 days higher than the standard value. The highest reserves are at MMK im. Ilyich – 36 days. The lowest – at Elektrostal – 3 days.
Domestic price forecast
In the current month, quotations of scrap metal on the domestic market will continue to decline against the backdrop of negative conditions on the long steel market. The forecast average price for the current week is UAH 7700/mt.
Source: "Ukrpromvneshexpertiza"
