[ad_1]
Subscribe to receive the most important news
Traders and producers expected the market to experience lower prices in the coming period, especially for commodities, including food and building materials, including iron and steel. cement, in a context of declining exchange rate of the dollar against the pound. For the first time in two years. Food producers said the continued decline in the dollar would drive down food prices, while some thought the current impact was largely invisible, especially as the US currency is still limited, pointing out that the current phase bears witness to an anticipation of which will result in lower prices The exchange rate of the dollar and the extent of its continuation.
The decline in the exchange rate of the dollar against the pound sterling, while the market is experiencing a recession and a drop in sales figures, will lead to competition between the factories to offer the best price offers, which will directly contribute to the good consumers, "said Ashraf al-Jazairi, chairman of the Food Industries Chamber of the Federation of Industries.
On the other hand, Amr Al-Heni, a board member of the Chamber of Cereal Industries, said the dollar's fall was no more than 50 piastres, which is not effective in provoking price spikes. the consumer, adding that the real guarantee for measuring the impact of the depreciation of the currency on commodity prices is continuity. Exchange rates at low levels for several months.
"The opening of the credits to the import and acceptance of shipments is at least three months in advance," he said. "The market will have to wait another three months." The most important "availability" is the availability of dollars in banks to meet the needs of importers.
Ahmed Saqer, vice president of the Alexandria Chamber of Commerce, said the impact of the dollar's drop on imported food prices is direct and identical to that of the dollar, but there are some Other indicators that control prices, including commodity prices in international stock markets.
Saqr added that imported companies are contracting Ramadan, during which international prices are rising, especially for meat and dairy products, as demand from Islamic countries' markets increases.
In Brazil, frozen meat prices rose from $ 2,800 per tonne in February to $ 3,200 per tonne in March, while Indian suppliers, the largest exporter of meat in the Egyptian market, canceled many contracts because high prices of their cattle, In imports of frozen meat for the coming period.
The vice president of the Alexandria Chamber of Commerce pointed out that milk powder had also increased by 30% and that some major exporting countries were going to make the decision to reduce their exports because of the low production.
Saqer pointed out that slowing sales and stagnant markets would prompt any product to hesitate to lower the prices of its products in the hope of boosting demand and increasing sales. About the impact of the construction materials market, especially iron and cement, the falling dollar price, said Ahmed al-Zeini, head of the building materials division of the House of In Cairo, there is a close correlation between the prices of iron and cement and the dollar, and what we have witnessed in recent days. The pound will of course have an impact on the prices of iron and cement on the market.
Al-Zeini added that the price of iron is stable during the current period due to the global recession of pallet ore in winter, where no raw material or pallet is collected, resulting in stability global prices and world pallet prices between $ 440 and $ 450 per tonne.
He predicted that iron prices would fall in early April due to the decline in the dollar. The price of the ton of iron is currently between £ 10,000 and £ 11,600,000, the delivery of a plant, the consumer's selling price between £ 11,300 and £ 11,800, and prices going down in next days. .
Regarding cement prices, the head of the Building Materials Division said that its prices are stabilizing now due to the opening of the plant in Beni Suef, which largely contributed to the lowering of cement prices between 710 and 775 deliveries of factory land and consumer prices range from 850 to 870 pounds per ton. The current period is marked by the availability of a cement supply for the consumer.
Ahmed Al-Zeini pointed out that the stability of iron and cement prices will immediately affect the price of the final product of average and economic properties, because they represent about half of the cost of housing.
For his part, Mohamed Hanafi, director general of the Federation of Industries of the Chamber of Metallurgical Industries, said that the decline of the dollar added to the recession in the domestic market as well as in the month near Ramadan , which significantly affects the sales movement, prompting companies to reduce their prices in response to these effects. On the decline.
Hanafi insisted on the need to control pricing in the market and not let operators manipulate it because the state is making great efforts to make citizens feel better and lower prices and do not allow some operators to waste the government's efforts.
Medhat Nafie, chairman of the Holding for Metallurgical Industries, said the dollar price is one of the most important factors affecting pricing in all sectors and determine the prices of the metallurgical industries. Of course, there is a direct process between the price of the dollar and the prices of metal products. In prices that should be seen in the coming days.
Nafie added that the metallurgical industries are energy intensive industries such as the aluminum industry, which relies heavily on electricity, highlighting the need for an energy strategy because it will greatly affect the increase in production.
[ad_2]
Source link
