Market Players for Merchant Bar in Marmara Region of Turkey - Part I

Market Players for Merchant Bar in Marmara Region of Turkey - Part I

​A few years ago, when I was working in the field of steel industry, I had taken many notes on Turkish steel market. I think that it is time to write down some of those notes which might interest international steel traders.

I will write with a focus on Marmara, not because I am living here, but because Marmara region has always significant share in overall Turkish market. This region is the most developed industrial, commercial and touristic center with high rate of population. Close location to Europe, passages from Black Sea to Aegean Sea, numerous ports, moderate climate, rich soil, extensive coastlines, educated work labor and many other factors make the region heavily advanced in industry, commerce, tourism and transportation. Plus, it holds beauty of Istanbul. 

The purpose of this article is to introduce some important market players as manufacturer, importer, exporter and wholesaler for merchant bar. 

Let's start with profile. 

Profile Group (UNP, INP, L, H, flat bars) 

Regarding profile type of products, the biggest manufacturer in Marmara is Kroman Çelik who is a member company of Yücel Boru. Besides profile, Kroman also produces rebar and wire rod. Their factory is located in Gebze/Kocaeli, Asian side of Marmara. According to the information on their website, their overall production capacity is 1.600.000 ton per year. 

Kaptan Metal is another big manufacturer for rebar, flat bar and angles. Their factory is located in Tekirdag. Kaptan seems as an export-oriented company and as far as I know they export most of their angles. 

Another manufacturer is Diril Demir who started to produce mainly angles and flat bars in 2010. Their factory is located in European side of Istanbul. 

Rozak Demir, an ArcelorMittal company, is probably the biggest wholesaler in the region for many types of merchant steel products. They have warehouses in Asian and European side of Marmara. Rozak buys from all producers including Kroman and sell to everywhere in Turkey. 

Boğaç Profil is also another big wholesaler located in Asian side. 

There was also a Russian player in the market. In 2010 Mechel Service Global acquired Ramateks Metal, a steel trading company in Istanbul and in 2011 Ramateks Metal started to import UNP, INP and L profiles from Laminorul, a former Mechel factory in Romania. In that time, together with Diril, Ramateks was considered as an alternative for wholesalers to Kroman's product range on which Kroman played "one man" supplier role for years. Contrary to expectations, it didn't happen. The company was sold to Yükselen Çelik in 2013 and Mechel exited Turkish market. 

Overview 

Kroman Çelik is dominative force in the market of Marmara Region. Not just because they are the biggest profile producer, but because they are also pretty aggressive in marketing and distributing. Even some big wholesalers don't like Kroman's tendency to reach to end-user customers. Kroman also excessively buys from Diril and other suppliers and distribute their products to the market. 

I will write about rebar and wire rod in another post. 

By the way, if you are in the field of international trade (export, import, global sourcing, etc.), please take time to register on bizbey.com which can be a valuable resource for you.

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