Kenya: Market for Hot-Rolled Non-Alloy Steel Wire Rods 2024

Market Size for Hot-Rolled Non-Alloy Steel Wire Rods in Kenya

In 2021, after two years of growth, there was significant decline in the Kenyan market for hot-rolled non-alloy steel wire rods, when its value decreased by -6.8% to $X. In general, consumption, however, posted a resilient increase. Over the period under review, the market reached the peak level at $X in 2020, and then dropped in the following year.

Exports of Hot-Rolled Non-Alloy Steel Wire Rods

Exports from Kenya

For the third year in a row, Kenya recorded growth in overseas shipments of hot-rolled non-alloy steel wire rods, which increased by 28% to X tons in 2021. Overall, exports posted a resilient expansion. The most prominent rate of growth was recorded in 2016 when exports increased by 286% against the previous year. Over the period under review, the exports reached the maximum in 2021 and are likely to see gradual growth in years to come.

In value terms, hot-rolled non-alloy steel wire rod exports skyrocketed to $X in 2021. Over the period under review, exports saw a strong expansion. The growth pace was the most rapid in 2016 with an increase of 219%. Over the period under review, the exports hit record highs in 2021 and are expected to retain growth in years to come.

Exports by Country

Tanzania (X tons) was the main destination for hot-rolled non-alloy steel wire rod exports from Kenya, with a 87% share of total exports. Moreover, hot-rolled non-alloy steel wire rod exports to Tanzania exceeded the volume sent to the second major destination, Uganda (X tons), more than tenfold. Rwanda (X tons) ranked third in terms of total exports with a 1.7% share.

From 2012 to 2021, the average annual growth rate of volume to Tanzania stood at +27.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Uganda (+10.2% per year) and Rwanda (-27.3% per year).

In value terms, Tanzania ($X) remains the key foreign market for hot-rolled non-alloy steel wire rods exports from Kenya, comprising 88% of total exports. The second position in the ranking was taken by Uganda ($X), with a 6.6% share of total exports. It was followed by Rwanda, with a 1.7% share.

From 2012 to 2021, the average annual growth rate of value to Tanzania amounted to +24.6%. Exports to the other major destinations recorded the following average annual rates of exports growth: Uganda (+7.5% per year) and Rwanda (-23.2% per year).

Export Prices by Country

The average export price for hot-rolled non-alloy steel wire rods stood at $X per ton in 2021, rising by 16% against the previous year. Overall, export price indicated a temperate increase from 2012 to 2021: its price increased at an average annual rate of +2.5% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, hot-rolled non-alloy steel wire rod export price increased by +32.9% against 2017 indices. The pace of growth was the most pronounced in 2013 when the average export price increased by 57% against the previous year. As a result, the export price reached the peak level of $X per ton. From 2014 to 2021, the average export prices remained at a lower figure.

Average prices varied somewhat for the major external markets. In 2021, amid the top suppliers, the countries with the highest prices were Rwanda ($X per ton) and Tanzania ($X per ton), while the average price for exports to Democratic Republic of the Congo ($X per ton) and Uganda ($X per ton) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Rwanda (+5.6%), while the prices for the other major destinations experienced a decline.

Imports of Hot-Rolled Non-Alloy Steel Wire Rods

Imports into Kenya

In 2021, purchases abroad of hot-rolled non-alloy steel wire rods decreased by -21.1% to X tons for the first time since 2018, thus ending a two-year rising trend. Over the period under review, imports, however, posted a resilient expansion. The most prominent rate of growth was recorded in 2013 with an increase of 88% against the previous year. Imports peaked at X tons in 2020, and then shrank remarkably in the following year.

In value terms, hot-rolled non-alloy steel wire rod imports reached $X in 2021. In general, imports, however, posted buoyant growth. The pace of growth appeared the most rapid in 2013 when imports increased by 93%. Over the period under review, imports hit record highs in 2021 and are likely to see gradual growth in the immediate term.

Imports by Country

India (X tons), South Africa (X tons) and Indonesia (X tons) were the main suppliers of hot-rolled non-alloy steel wire rod imports to Kenya, with a combined 58% share of total imports.

From 2012 to 2021, the biggest increases were recorded for Indonesia (with a CAGR of +25,946.6%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, India ($X) constituted the largest supplier of hot-rolled non-alloy steel wire rods to Kenya, comprising 34% of total imports. The second position in the ranking was taken by South Africa ($X), with a 14% share of total imports. It was followed by Indonesia, with a 13% share.

From 2012 to 2021, the average annual growth rate of value from India stood at +26.9%. The remaining supplying countries recorded the following average annual rates of imports growth: South Africa (+1.1% per year) and Indonesia (+38,904.5% per year).

Import Prices by Country

In 2021, the average import price for hot-rolled non-alloy steel wire rods amounted to $X per ton, surging by 27% against the previous year. In general, the import price showed a relatively flat trend pattern. The pace of growth appeared the most rapid in 2017 when the average import price increased by 34%. The import price peaked at $X per ton in 2013; however, from 2014 to 2021, import prices failed to regain momentum.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was India ($X per ton), while the price for Japan ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Indonesia (+49.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform