MRW has recently re-set prices following feedback from readers. Responses suggested that while the rises and falls we were capturing were about right, the prices themselves were too low to be a true reflection of the market.
We are very much committed to ensuring that our prices are correct so, after considerable thought, we decided to re-set the prices (as we do periodically). The decision was not taken lightly, but had become necessary. Unfortunately, we concluded there is no ideal time in the year to re-assess our ferrous price guide. We sought to minimise the impact by keeping readers informed, and used the price guide slot in the 30 March edition of the magazine to inform readers of the upcoming change and to invite them to take part.
MRW then embarked on an extensive exercise to check prices for all grades to ensure that the market’s true levels were reflected. This involved speaking to a cross-section of merchants and seeking feedback via the magazine. This did not represent a new pricing structure or methodology. Rather, the result was a new base which was used from 20 April onwards.
Any changes in the prices between 30 March and 20 April would therefore be a result of the re-setting exercise rather than a material change in the markets (home steelworks’ prices for April deliveries and tonnages remained largely unchanged from March). When MRW published the reviewed prices on the 20 April, we included a statement explaining that price changes related to the re-assessment of MRW’s price guide.
MRW’s methodology continues unchanged: we continue to set prices usually after the local steel works have settled for the month and then speak to merchants around the country to seek inter-merchant prices. Our prices are very much dependent on the good will of merchants agreeing the share prices with us in confidence. If you wish to participate or contribute to the MRW ferrous report, please contact us on 0207 728 4638 or email@example.com.
MRW is aware that many readers are particularly seeking prices movements (i.e. the fall or rise) rather than a range. In the coming week, MRW will therefore be introducing an additional column to our Ferrous Guide Price table to show movement. This is part of an on-going study to find new ways to improve our guide pricing. If you would like to feed into this or suggest future improvements, please contact firstname.lastname@example.org.”