Egypt's Ezz Steel keeps December price at LE4,500 per tonne

Ahram Online, Monday 5 Dec 2011

Major steelmaker keeps price constant after previous month's cut, fuelling an overall 25 per cent rise in the metal compared to 2010

Steel production - one of Egypt's most important heavy industries (Photo: Reuters)

Ezz Steel has kept its metal prices at LE4,500 per tonne for December, after enacting a cut of LE300 per tonne the month before, new figures show.

This brings the average consumer price for steel in FY2011 to LE4,546 per tonne, 25 per cent higher than in 2010, according to leading Egyptian investment bank Beltone Financial.

Global prices for billet dropped to US$590 per tonne in November against $600 in October, while scrap prices fell from $410 to $390 per tonne during the same period, according to a monthly report from Egypt's Metallurgical Industries Chamber.

In November, Egypt's prosecutor general referred Ezz Steel’s founder Ahmed Ezz to Cairo's criminal court on new charges of money laundering. Ezz was removed from his post as company chairman in May.

The magnate and former chief whip of the dissolved National Democratic Party is charged with laundering LE6.4 billion ($1.06 billion) which he is accused of raising via illicit profiteering and the appropriation of public funds -- the two crimes for which he is already on remand.

Ezz Steel holds a 55 per cent stake in Ezz Dekheila which saw its profits drop 38 per cent to LE322.4 million in the first half of 2011, the firm said Sunday in a statement sent to the Egyptian stock exchange

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