Reuters reported that Russia's Rusal expects to shift all its aluminium supply contracts for 2013 to floating premiums, an unprecedented move that could overhaul decade’s old industry pricing practices.

The world's largest primary aluminium producer is the first in the industry to switch its term supply contracts to a floating premium, the price paid on top of the London Metal Exchange price for physical delivery of metal. Producers and consumers have traditionally agreed fixed terms for annual supply contracts.

Mr Steve Hodgson head of international sales said that "Moving into next year, we will be moving towards 100 percent float."

Source – Reuters

(www.steelguru.com)