Interpipe wants Ukrzaliznytsia to sell scrap on FCA terms.
“We do not buy scrap from Ukrzaliznytsia, as we do not agree with the terms of the current auctions. The key problem is the terms of delivery. They are trying to sell a batch of scrap lying somewhere and weighing none knows how much, protect it ourselves and transport it. We are not prepared to work under such conditions”, Interpipe CFO Denis Morozov declared.
He insists that Ukrzaliznytsia must change the sales terms from EXW to FCA. The scrap has to be loaded on railcars and must be at the station.
“In summer scrap procurement is good, we have enough of raw materials. The critical situation can arise in winter, when the procurement is insignificant, around 70 thousand tons”, he said. (Ukrainian metal)