Scrap Export Price Rises in Osaka

Ferrous scrap export price became at FAS 18,050 yen per tonne for H2 from Osaka bay at export tender held by Osaka based ferrous scrap dealers’ group, Kansai Tetsugen on Tuesday. The contract volume was 10,000 tonnes. Osaka based scrap dealer, Econel won the tender to ship 10,000 tonnes scrap from March 21 to April 30. The price increased by 524 yen from successful tender price of Tokyo based dealers’ group, Kanto Tetsugen for April shipment.

Ferrous scrap export price decreased by 2,950 yen per tonne from the previous tender on 23 February. Averaged contract price decreased by 2,313 yen to 16,999 yen but the contract volume increased by near 40,000 tonnes to 86,000-87,000 tonnes. It is expected that Chinese and South Korean importers increased the offers to Japan when Japanese ferrous scrap price dropped.

Ferrous scrap purchase price by electric furnace steel makers around Osaka is 16,000-17,000 yen per tonne for H2 on 17 March. Because the export price exceeded the makers’ purchase price and the export contract volume totaled 15,000 tonnes at recent twice tenders, a large dealer source prospects dealers’ shipping volume may decrease to domestic makers.