steel drops due to slump in demand

"The ministry will discuss steel prices this week and will focus on cut¬ting the price following the slowdown in demand. Besides, the price of raw materials used to produce steel have also dropped," Yangyong said.

Steel prices have dropped in line with the slump in demand from major importing countries, particularly China. Prices had skyrocketed over the past few years because China was consuming huge amounts of stell in the construction of its Olympic stadi¬ums.

Payungsak Chartsutipol, chairman of the steel industry club of the Federation for Thai Industries, said that domestic steel price could drop by 5 per cent.

"Traders have not been able to raise the price during this period because no large construction projects have come up to raise demands in the market," Payungsak said.

So far, the price of scrap has decreased from Bt20 a kilogram to Bt17 a kilo, and billets from between US$1,100 and $1,200 (Bt37,191 to Bt40,572) to $1,000 a tonne in line with the dropping oil prices.

Meanwhile, the Commerce Ministry will also be setting up a spe¬cial fair in Nonthaburi province from August 20 to 22 as part of its 88year anniversary celebration.

At the fair, many goods will be sold at specially low prices, including pork at Bt84 a kilogram from Bt110; veg¬etable oil from Bt47.50 to Bt41 a litre; regular white rice at Bt119 a fivekilo pack as well as Yuasa car batteries at Bt1,800 to Bt2,300, down from Bt2,300 to Bt2,800; Good Year tyres from Bt2,200 to Bt2,900 to Bt1,800 and 2,500; and Bt200 off a gallon of PTT lubricant.

The ministry's 10day "Made in Thailand" fair, which ended on Sunday, generated more than Bt5 bil¬lion, attracting more than 1.05 million shoppers and creating futurebuying contracts worth Bt826 million.