The Turkish market continues to limber on with no meaningful respite coming to the aid of the domestic recycling sector, other than a marginal USD 5 per tonne improvement in prices reported this week.
With the price gap as compared to the Indian sub-continent market now gradually worsening (as Pakistan and Bangladesh made their respective strides this week), sheer desperation appears to be the key motivating factor behind the Turkish prices inching forward.
Notwithstanding the increase, the nearly USD 150 per LDT gap in levels that remains, will certainly ensure owners of larger units will divert their ships towards the sub continent markets, for the better levels on show there.
As such, local recyclers are left negotiating only small LDT tonnage that has been opening up in the region with a couple of units reportedly arriving the shorefront this week.
As fundamentals remain relatively unchanged, Turkish end buyers do not expect prices to improve much (if at all) and it does seem that the local market will perhaps linger in status quo mode in the coming weeks.
Source: steel guru. 18 Mar 2015