Insight Details

Iran softens stand, lifts cap on long steel exports

The Mining Industries Office of the Government of Iran, softening its earlier stand, has lifted the restrictions barring around 84 steel mills from exporting long steel p...

Semi Finished
By
180 Reads
25 Aug 2021, 18:38 IST
Iran softens stand, lifts cap on long steel exports

The Mining Industries Office of the Government of Iran, softening its earlier stand, has lifted the restrictions barring around 84 steel mills from exporting long steel products. Further, the government extended the export licenses for one more month - till Oct'21.

In the latest update received today, the government took the decision following protest from the Iranian Steel Producers Association (ISPA). The ministry issued a letter today, lifting the restrictions announced earlier and also extended the export licenses for one more month - till Oct'21.

It may be recalled the government, on 24 Aug'21, announced in a letter to the Export and Import Regulations Office the list of units authorised to export long steel products, as per Chilan Online.

As a result, around 84 companies lost their licenses to export long steels against the backdrop of new restrictions imposed on the export of the same.

The Mining Industries Office had made the issuance of the export license for long steel conditional on the supply of 70% of a company's products on the commodity exchange. The companies which failed to meet this 70% supply ceiling in the first four months of this year were excluded from the list of export licenses.

The Iranian steel producers objected, citing a 45-day power outage being the major reason behind limited supplies and allocations.

At present, there are hardly any billet export allocations from Iranian mills due to the ongoing power outages, said a local player.

Iran's export volumes of billets and blooms in the first four months (21 Mar'21-20 Jul'21) of this Persian Year stood at 1.69 million tonnes (mn t), up by 26% compared to the corresponding period last year (CPLY).

 

 

25 Aug 2021, 18:38 IST

 

 

You have 0 complimentary insights remaining! Stay informed with SteelMint
Related Insights
;