Local per-ton steel prices abruptly rose from between LE3150 and LE3450 to between LE3500 and LE3800 in the last few days, even though steel producers had already announced fixed prices for the month of March. Steel manufacturers cited increased global prices for raw materials as justification for the move.
Egyptian steel giant Ezz Steel is currently selling its product at LE3280 per ton ex-factory, while the company’s authorized dealers are selling it for between LE3600 and LE3800 per ton.
Some local producers have reportedly decided to reduce production in an effort to boost demand and increase market prices. Others, meanwhile, have decided to only supply wholesale dealers.
Mohamed Abu Shadi, head of the Trade and Industry Ministry’s control department, said that the ministry planned to take action against the sudden price hikes.
"These represent individual attempts to raise retail prices," he said. "But they will fail owing to the large quantities of imported steel on the market."
Translated from the Arabic Edition.