TATA Steel is increasing transaction prices for April 2011 deliveries in the UK of wire rod produced at its Scunthorpe Rod Mill by a minimum of 125 pounds ($201.50) per tonne, with some grades increasing by as much as 150 pounds per tonne.

The price rise is being driven by continuing increases in raw material costs as well as improvement in demand for the product.

Prices for April 2011 deliveries of Scunthorpe wire rod in all other markets will also increase by between GBP 125 and GBP 150 per tonne equivalent.

Mr Andrew Parker commercial manager of Wire Rod and Bright Conversion for TATA Steel's European operations said that "The cost of both iron ore and coking coal continues to rise to such an extent that we have to raise our prices. Market demand levels have also continued to improve, which supports a much needed price correction throughout the supply chain."

Source: SteelGuru