CIS basic pig iron export market softens on fewer sales, weaker scrap

Posted on December 27, 2013 by Nanthakumar Victor Emmanuel, P.Eng Leave a comment

The Russian and Ukrainian basic pig iron market has been quieter this week, as buyers and sellers departed for the Christmas and New Year festivities, while scrap prices — the traditional lead indicator for pig iron prices — started showing signs of decline, sources said Friday.

This week saw a few sales from the Ukrainian producers, all at levels equivalent to $385-387/mt FOB Mariupol, on a CFR basis. One sale to Egypt in the beginning of the week at $417/mt CFR, would netback to around $385/mt FOB Mariupol, for a February production/end-February load readiness cargo of 20,000 mt, a mill-linked source said.

There were also few sales to Turkey, at around $410/mt CFR Marmara, or around $384/mt FOB Mariupol calculated based on current freight rates, for February production/end-February load readiness, according to sources.