Egyptian Rebar Prices Continue To Rise

Market leader Ezz Steel has increased its ex-works domestic rebar price by 9.7% to EGP 32,135 ($922), with 14% VAT included. The prior price was EGP 29,285/t.

In comparison to last week, mills’ new domestic market ex-works net rebar rates, which include 14% VAT, are EGP 32,050/t ($917) for Suez and Egyptian Steel (El Masryeen). Conversions to dollars do not include Egypt’s 14% VAT. Cash only, or within seven days of arrival.

While banks trade at roughly EGP 30.85 per dollar, the black market exchange rate has hit EGP 35.8.

The lack of foreign money has made Egypt’s economy difficult, and mills are having trouble importing raw materials. Because the government gives priority to shipments of necessities like food and medicine, mills hardly ever issue Letters of Credit. Domestic consumption will undoubtedly decline as a result of the present price levels, but mills cannot make up for these sales in export markets.

Although their revised prices couldn’t be confirmed before press time, other Egyptian mills are considering doing the same.