Posted on 21 Sep 2022
The recent flash flood has impacted the overall economy of Pakistan. From devaluating Pakistani rupees to surging feedstock prices, everything has taken a direct hit thus hurting steel market sentiment in the nation. Pakistan’s steel major Amreli Steel has decided to extend its production shutdown until 30 September and will resume operations from 1 October, Kallanish notes.
The company - owing to floods – previously informed it was suspending production from 31 August to 19 September.
“In furtherance to our letter dated 31 August 2022, we are pleased to inform you that the company will resume its production from 1 October 2022,” Amreli Steel informed in an exchange filing. “Moreover, the company has sufficient stocks in hand to meet its customers’ demand during the period of shutdown.”
Meanwhile, another national giant Agha Steel informed it would temporarily close its new order bookings amid the devaluation of the Pakistani rupee against the US dollar.
“The uncertain fluctuation against the US dollar has resulted in further devaluation of Pakistani Rupee, which is impacting our cost of Inputs; therefore, Agha Steel Industries will be temporarily closing New Order Bookings from 21 September 2022,” Agha Steel informed. “Kindly plan accordingly. All pending orders, and, the new orders booked till the above date will be delivered according to the respective order’s validity period.”
The climate catastrophe has devastated the lives of 33 million people in Pakistan and damaged assets worth $30 billion. According to Kallanish sources in Pakistan, citizens are facing severe aftermaths from the floods and are falling victim to cholera, malaria, dengue and diarrhoea.
Source:Kallanish
