5 basic factors led the iron market to rise by 30% within one year, despite the failure to fully recover from the repercussions of “Corona” so far. Iron prices recorded new highs at the beginning of this week after a wave of repeated upsurge since the end of the last quarter of 2020, and the increase since the beginning of this year so far reached 490 riyals per ton, supported by the high demand as a result of the increase in housing projects and the acceleration of the pace of business in cities and major projects now, Specialists attributed that to 5 factors; These include the revival of the real estate market, the acceleration of the pace of construction and housing projects, the increase in demand for building materials, construction, including iron, the variables of supply and demand, and speculation in global markets.
The price of 8 mm iron was 3312 riyals per ton, 10 mm 3381 riyals per ton, and 12, 14, 16 and 18 mm was 3048 riyals per ton, while the price per ton for Yamama steel was 12 mm and 14 mm 2,967 riyals per ton, and Western steel for sizes 12 and 16 mm 2,910 riyals, and during the month of March 2021 the price of reinforcing iron increased 8 National mm by 31.7% to reach 3499.99 riyals, an increase equivalent to 842.87 riyals over the price in March 2020, and similarly, national 10 mm iron rose by 31.5% to reach 3510.3 riyals per ton, an increase of 840.66 riyals compared to March of last year, and the prices of 12 mm national rebar increased by 27.8% Last March, compared to the same month of the year 2020 AD, to reach 3325.87 riyals per ton, and iron rose 14 mm national 27.7% last month on an annual basis, to record 3321.86 riyals, an increase of 719.84 riyals over its price in the same month of last year.
Nabil Al-Halabi, a sales manager at a steel distribution company in Jeddah, said: That steel sales have witnessed a remarkable increase since the beginning of the new year, compared to the stagnation and almost complete stopping of the same period last year due to the Corona pandemic, and attributed the high demand to withdraw large quantities of stock from Before real estate development companies, and government projects after returning to business and projects more, the market has witnessed since mid-2020 a wave of rises, and since the beginning of this year alone, the rise has reached 500 riyals per ton on average.
Abdullah Al-Ahmari, a real estate expert, attributed the rise in the prices of iron, cement and building materials in general to the increase in demand from housing and government projects, and indicated that the Ministry of Housing programs had made a boom in the local real estate market, and an increase in the pace of construction, and pointed to the rapid start of work on major projects that It was launched by the Kingdom’s Vision 2030, foremost among which is the Red Sea Project, Amaal, Neum, and Qiddiya.