Italian import prices for pig iron increased month-on-month by $10/tonne on average and are showing week-on-week stability Kallanish learns from market sources. Pig iron import prices in Italy are seen rising by another $10/t in the coming days, due to a recovery in scrap prices in Turkey and increasing Black Sea billet values.

Transaction prices for basic pig iron this week are at $380/t cif on average. Italian buyers are purchasing both from traders’ material already in consignment at ports and directly from producers in the CIS region, as they did in February. “If we consider that Turkish scrap may soon reach the level of $370/t cif, pig iron will probably climb to $390-400/t cif for Italian buyers,” a source comments.

Meanwhile there has been another $15/t hike in Black Sea billet prices that are now being sold in the Mediterranean area at $535-540/t fob, up from €520/t fob in February. This transaction price has been registered in Northern Africa and Turkey but not yet in Italy where the most recent transaction was at €545/t cif, Kallanish hears.