Iran: Billet export prices rise in a recent deal

After witnessing a trade silent week, the Iranian billet export market hit some deals for China this week. For instance, one of the leading exporters of Iran has booked around 40,000 t billets for China through tender at $375-380/t, on FoB Iran basis. However, this deal was supposed to get concluded in the last week, but since the mill was not getting desired price levels, hence it extended the tender due date.

The rise in iron & steel futures pushed the Iranian billet prices- Till the beginning of this week, Chinese buyers were bidding at $395/t, CFR i.e $360-365/t, FoB Iran levels, while mills were looking for $365-370/t, FoB levels. However, yesterday due to an increase in iron & steel futures in China, the bids for Iranian billets also reported a rise. The event has also supported the Iranian mill to fetch the high deal value. According to sources, reported to SteelMint, the bids for Iranian billets are currently at $405-407/t, CFR.

SteeMint assessment for billet export offers from Iran has risen and is at $370-380/t FoB Iran, up by $5-8 against last week.

Iranian Mercantile Exchange witnessed no billet deals on 08 Jul'20: This week, no deals were reported at IME, as the Iranian government has canceled all deals due to price guidelines violation. The total quantity offered by the mills was noted to be around 92,000 t and the set base price was reported to be IRR 57,317/kg ($323/t) while the prices soared to IRR 82,000/kg ($381/t) and hence all deals got canceled.