Ferrous Scrap Export Price Rises in Osaka

Ferrous scrap export price surged by 165 yen to FAS 19,625 yen per tonne for H2 from Osaka bay at an export tender held by Osaka based ferrous scrap dealers’ group, Kansai Tetsugen on Friday from the previous tender on 4 December. The group held the export tender twice in a month for the first time. The price was higher than the price at another tender held by Kanto Tetsugen on 10 December by 1,417 yen.

Osaka based scrap dealer, Arae Shokai won the tender to ship 5,000 tonnes scrap at 19,700 yen per tonne and Econecol won the tender to ship 5,000 tonnes at 19,550 yen. These shipping are scheduled during the period from 19 January to 18 February. The averaged bid surged by 1,369 yen to 17,746 yen per tonne form the previous tender. Twelve traders submitted 12 bids and 5 traders declined.

Ferrous scrap purchase price by local electric furnace steel makers is 14,500-15,500 yen per tonne for H2 grade around Osaka. The export tender price exceeded local makers’ purchase price. The demand for ferrous scrap keeps stagnant due to the output cut by local electric furnaces.