CAIRO: The price of steel has significantly been reduced in January, with a decrease of 600 EGP ($76.6) per ton at some companies, according to a Wednesday statement by the Supply Ministry.
The amount of steel available for sale every week has also increased to 441,465 tons, leading to a decrease of 154,754 tons in weekly production.
Steel companies are allowed to further reduce prices under the condition that they announce the decision in advance, head of the Internal Trade Sector of the Supply Ministry Sayed Hagag stated.
The company that offered that highest price reduction of 600 EGP is Delta Industrial Investments; the ton of steel reached 4,075 EGP. The lowest reduction was 150 EGP, reaching 4,250 EGP per ton offered by Bianco Group for Integrated Industries
In November, steel companies raised iron prices by 50 to 450 EGP despite President Abdel Fatah al-Sisi’s request that the private sector reduces prices in a speech Nov. 1.
Monopoly of the iron industry leads to higher prices, Al-Bawaba News quoted Ahmed al-Zeiny, head of the General Division of Building Materials at the Chambers of Commerce Union, Nov. 18.
Only four companies account for 90 percent of iron production, with Ezz Steel, owned by Hosni-Mubarak businessman and politician Ahmed Ezz, at the forefront, according to Zeiny.
Zeiny added that steel companies cannot announce their prices before Ezz Steel.