The blank scrap in Ukraine has decreased to a minimum valueexpert
In July, the blank scrap in Ukraine dropped to 419 thousand tons, an increase of almost 100 thousand tonnes less than in June.In July, the blank scrap in Ukraine dropped to 419 thousand tons, an increase of almost 100 thousand tonnes less than in June. The current level of scrap collection is the lowest since January 2013. Total same January-July 3319 was collected about thousands of tons, which displays about last year’s figures . Such information is contained in the monthly survey of the scrap market , conducted SE ” Ukrpromvneshekspertiza ” ( SEA ) .The main factor reducing scrap collection system is the low prices paid for scrap, which were held in July at $ 263 / t for the base brand 2A . At the same time, the prices of raw materials at the level of primary gatherers were $ 225-238 / t In such circumstances, lomosdatchiki not agree to ship the scrap pad , holding it for the realization of better prices . “Do not had a positive impact on the scrap collection and the resumption of exports , – says Yuri Dobrovolsky , Head of Marketing SEA – because artificial administrative barriers when exporting scrap does not allow domestic exporters to become more active in the market, adversely affecting domestic prices for scrap metal .” According to analysts in July it was exported about 10 million tons, with the entire amount was taken out only at the end of the month.According to the expectations of SEA blank scrap in August will increase , but the fundamental growth can be expected. “We estimate that in August will be collected about 440 thousand tons , which is only 4% more than in July – predicts Yuri Dobrovolsky , – such a low rate of growth will be driven by the fact that the work is not carried out will have time to react to the increase in purchase quotations mid-August (up to $ 283) . In addition, lomosdatchiki will not rush to give the available raw materials as well as in September is very likely one more increase in purchase prices by 50-100 UAH .