At the beginning of last week Isfahan Steel Debar was transacted at IRR 16,252,000 per tonne in IME when demand level was forth time more than supply level. After VAT and other costs this debar would be IRR 17,100,000 per tonne which shocked the market participants and made prices upward. Besides higher base price in IME, ex rate increased to more than IRR 21,500 per USD, so market was blocked on Tuesday.

By Tuesday afternoon prices started dropping and by end of the week debar price declined from IRR 20,000,000 per tonne to IRR 18,000,000 per tonne ex warehouses in Tehran. Buyers were not interested but traders worried about more declines tried to decrease inventory levels. At the current situation long products market would be quiet in coming days but debar price won't drop to under IRR 17,000,000 per tonne.

Sourced - Irsteel.com

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