Last week billet market like other steel products was influenced by exchange rate fluctuations and market stagnancy. Billet Size 150 mm was around USD 923 per tonne to USD 940 per tonne on truck in Anzali. Exchange rate fluctuations and ambiguities in future market trend made sellers out of market.

It increased to USD 1060 per tonne on Wednesday and then dropped again after government announced new exchange market system. But the drop in billet price was limited due to following reasons

1. Absence of big traders in the market; Last week market was almost closed due to holidays on Sunday and Thursday.

2. The current billet price in domestic market is the same as importing at USD 1/ IRR 14,000 so there is no space for significant decreases.

Some market participants believe that as consumption level is dropping due to end of the year coming, during next 2 months billet price will drop. Besides during last 2 months, import level has increased significantly. Some others think that production level has dropped and sections prices are upward. In import market last month ambiguities increased and we can say real trend of billet market will be clear in next Iranian Year but surely prices won't get back to last month's levels.

(Sourced from www.irsteel.com)