Steel prices hike by up to EGP 2,000 per ton at the beginning of November, Invest-Gate reports.

Mohamed Hanafy, director of the Chamber of Metallurgical Industries, says that steel prices increased in the local market due to a group of reasons, including the rise in the USD exchange rate against the Egyptian pound and fluctuations in global raw material prices in the last two weeks.

By 08:29 AM, Cairo time, the USD exchange rate against the Egyptian pound reaches 24.0915, according to Bloomberg.

Hanafy comments that inflation in steel prices is also the result of overstocking of pallet cargoes at ports, which caused a decline in inventories.

Ahmed El-Zeiny, Head of the Building Materials Division at Cairo Chamber of Commerce, reveals that average steel prices delivered to factories rose between EGP 1,200 and EGP 2,000 at the beginning of November.

El-Zeiny notes that prices of steel delivered to factories of Ezz Steel, Beshay Steel, Egyptian Steel Group, and Suez Steel amount to EGP 19,650, EGP 19,600, EGP 19,550, and EGP 19,550, respectively.

Data collected by the Chamber of Metallurgical Industries shows that Egypt produces around 7.9 mn tons of steel and 4.5 mn tons of pallets, while importing around 3.5 mn tons of pallets.