INTERVIEW: LME working to improve steel billet contract, ceo says

The London Metal Exchange is working to find ways to develop liquidity in its steel billet contract, which has been refocused to the European region, the exchange’s ceo Garry Jones said.

“Some people have asked why we are continuing with physical settlement of billet, with the Turkish problems over VAT issues and others, and we’ll have some news for you on that in the next few weeks with some partnerships we’re looking at to help push that market along,” he said. “But the market is telling us, don’t give up on it yet. It clearly hasn’t been a success and I think structurally there are some problems, which we’re looking to fix,” he added. The original steel billet contract was plagued by a number of problems after launch in 2008. One major problem still with the contract is that the current rules on goods warehoused in Turkey means that...

Published

Andrea Hotter

March 13, 2015

17:40 GMT

Boca Raton, Florida