Informed sources said the steel importers will retaliate against the local producers by reducing prices between LE 3100 and LE 3250 per ton, after the average price has reached LE 3800. The move came in response to Ezz Group announcing a price reduction to LE 3400 ex-factory and LE 3520 for the consumer so as to beat Beshay Steel that sells for LE 3700 and El-Garhi Steel that sells for LE 3600. The sources said Beshay and Garhi would compensate through the imported shipments arriving in the coming days. The Ezz Group domestic market share amounts to 200,000 tons per month, with 90,000 for Beshay and 20,000 for Garhi. The sources expected more declines in prices when the quantities from Turkey arrive in February, especially since most of these quantities were bought for LE 2800.
A number of local producers accused the Ministry of Industry of not supporting that national industry by allowing the dumping of Turkish steel.
Rafiq el-Daw, Vice-President of Egypt National Steel, said: “The Turkish steel is sold in Turkey for US$ 600, while it is exported to Egypt for US$ 500, which means that there is suspicion of dumping the Egyptian market, and which requires the intervention of the Ministry of Commerce to legalize import and protect the national industry.”
