Russia puts ferrous scrap export quota in place for rest of 2019
2019-09-19 10:13:06 [Print]
The Russian government has introduced 1 million mt quota on the country's ferrous scrap exports shipped outside the Eurasian Economic Union for September 1- December 31, according to the executive order.
The four-month allowance equates to 3 million mt a year compared with Russia's usual exports of 4 million mt/year. The quota is intended to tackle excessive rises in the scrap price.
The decree says one-time licenses will be allocated to exporters in line with their actual export volumes between January 2016 and December 2018 adjusted according to regional scrap availability. Each region will be allocated a multiplier of the average.
Russian market participants said they were afraid that scrap exports may be suspended because the quota had been introduced, but the industry and trade ministry had yet to start distributing the licenses.
The four-month allowance equates to 3 million mt a year compared with Russia's usual exports of 4 million mt/year. The quota is intended to tackle excessive rises in the scrap price.
The decree says one-time licenses will be allocated to exporters in line with their actual export volumes between January 2016 and December 2018 adjusted according to regional scrap availability. Each region will be allocated a multiplier of the average.
Russian market participants said they were afraid that scrap exports may be suspended because the quota had been introduced, but the industry and trade ministry had yet to start distributing the licenses.
