Bulgarian wire rod market starts to recover

Tuesday, 21 February 2012 13:44:53 (GMT+3)   |  
       

In the Bulgarian domestic long steel market, producers' mesh and drawing quality wire rod prices have increased by BGN 10-20/mt ($7-14/mt) as compared to the last days of the previous week, and are now currently at BGN 1,020-1,040/mt ($694-707/mt) CPT on actual weight basis, and exclusive of 20 percent VAT.
 
Furthermore, since the Danube Bridge which connects Bulgaria to Romania recently closed to traffic amid the cold weather and snow, transactions and transportation of goods had slowed down and so transaction activities had faced problems. However, with the warmer weather conditions the Danube Bridge has opened to traffic again and Romanian market participants have come back with new offers to the Bulgarian wire rod market. As SteelOrbis has learned, one Romanian mill has offered low carbon wire rod to the Bulgarian long steel market at the level of BGN 1,030/mt ($701/mt) CPT, but no transaction has been concluded at this price range yet as Bulgarian buyers prefer to maintain their wait-and-see stance.

Since heavy vehicles have again started to be seen on the roads in line with the relative improvement in the weather, wire rod trade and demand levels have started to revive as compared to the previous weeks in the Bulgarian long steel market.

 $1 = BGN 1.47


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