Steelmakers bargaining to benefit from rising world prices

Export markets for large steelmakers have increased at least a month in the past month, with Iran's export bullion reaching $ 2 per tonne, as we read in the latest Metal Bulletin report, even shipment of 4,000 tonnes of bullion to Africa and Thailand has been sold. The question of regulating the market and confronting the demands of the country's great steelmakers with the demand of the domestic consumer; This month, the domestic market of ribbed rebar has surpassed the price increase of approximately one kilo-toman and this price increase is due to the control of limited supply of bullion in the domestic market and based on the formula of calculating the base rate of supply and competition in the purchase of the bullion. Currency market inflammation has also helped accelerate the process. During the past month, rising prices of the domestic steel market have driven increasingly steady demand for liquidity in the steel market, as demand has been steadily increasing, driven by market regulation mechanisms and influenced by the currency market stimulus. Until last week, the stock market and the off-market have been more aggressive and have become less traded, a commodity that entered the market purely for fear of capital loss and has yet to see a real end-user. Can't.
This upward trend has fueled the market to such an extent that even the liquidity of the market has saturated late last week and today, as indicated by last Wednesday's demand and today's demand; The current ones do not show at the new base rate. The contrast between the demand of the end consumer in the domestic market and the demand of steelmakers with the impetus of export markets led to a work where the Honorable Minister promised to reduce and adjust prices by increasing supply on the stock exchange and thereafter strictly adhere to supply. Are exported to steelmakers.
What emerges from the evidence is that on Saturday, it seems that a meeting of the Specialized Steel Committee was held to have steelmakers again bargain with government oversight agents to see what the outcome would be. Another recent move by the Honorable Vice President was to lift the ban on export duties on sponge iron, which has generated a lot of talk among traders.
The truly private (but not protected) production chain has been suffering from a shortage of raw materials, especially sponge iron, and has been unable to compete with the domestic market, so we have heard that some induction steelmakers are on the verge of closure; This issue, the Honorable Deputy Minister of Health, issued a directive ordering the cessation of exports of sponge iron required by the private or induction steel sector; On the other hand, some of the scrap metal market players We hear that some gigantic shoppers are grabbing a limited scrap iron market in the domestic market by offering high numbers and attractive rewards to their sub warehouses, so that the induction steelmaker can compete with them. It cannot and will not spend generously on rewards like the public sector. Given the current situation, it seems that inductive steelmakers are eliminating and destroying by pressures from the concessions in their two areas of supply of raw materials, including sponge iron and scrap iron.
It has recently been suggested that one of these suppliers of sponge iron is expected to provide the required induction sponge iron with rationing from next year. In the domestic steel market of the country due to the production of several tens of times more than the domestic demand, this is the regulation of the market and the control of the volume of supply, especially the control of the supply of ingots in the domestic market, which, according to the current mechanism, determines the base rate of final product supply in the country. The domestic market is on the stock market, which has been steadily bargaining with steelmakers over how many times it has been in the past, and the difference between the two views on steelmakers' demand for equilibrium domestic rates. Returns an export.