Iran turns to commodities market to protect steel prices
Tehran, Iran, March 11
By Kamyar Eghbalnejad – Trend:
Iranian Ministry of Industry, Mine and Trade has called on steel producers to offer products through the country’s commodities market, in a move aimed at preventing a possible price hike.
In a recent letter, Hassan Younes Sinaki, a deputy industry minister, has instructed the manufacturers of steel products to offer their products at the Iran Mercantile Exchange (IME) on a weekly basis.
The letter seen by Trend news agency says that the decision seeks to protect the balance between supply and demand and also ruling out the possibility of a hike in the prices.
In addition to imports from Russia, India, and China, Mobarakeh Steel Company, Ahwaz Rolling and Pipe Mills Company, Oxsin Steel Company, as well as Gilan and Kavian companies, supply steel products in the Islamic Republic.
However, Mobarakeh Steel Company is the sole supplier of steel products at the IME.
During the first 11 months of the current fiscal year, the IME saw trading about eight million tons of commodities in the group of industry and minerals, indicating an increase of 29 percent.
Over 15.405 million tons of crude steel was produced in Iran during the first 10 months of the current fiscal year.