China reserves to sell aluminium ingots at auction

The bid price is much higher than the price of aluminium during the financial crisis, and the National Reserve Bureau will take a similar approach to lead and zinc for the public auction of "Caixin Net" (reporter Jiang Jiangning) November 2 afternoon, the National Reserve Bureau this year for the first part of the country's stockpile of aluminum ingots ended, all the aluminum ingot products involved in the bidding, in addition to two single stream, the rest are sold,　　The bid price is much higher than the price during the financial crisis, which makes the National Reserve Bureau profitable.　　The National Reserve Material Adjustment Center by the State Material Reserve Bureau commissioned by the public bidding way to sell some of the national reserves of aluminum ingots, the number of 96,000 tons, auction sales time November 1, 2010 and 2nd. A total of more than 20 enterprises to participate in the bidding, both downstream customers, aluminum factory, traders, but also include large state-owned enterprises, foreign-funded companies.　　Bidding site transactions enthusiastically, only two single appeared stream phenomenon, mainly because of the number of small, position, transportation is very difficult, expensive. Participating traders to the new financial reporter, the location of the impact of the warehouse, the bid price is different, the highest price in the process of bidding less than 16000/ton, the lowest close to 15000/ton.　　One of the highest prices in Henan, mainly because of the recent large-scale production in Henan province, the local supply is significantly inadequate. The final bid for the price of aluminum ingots is much higher than before the National Reserve Bureau of the price of aluminum ingots, so that the National Reserve Bureau profits quite abundant.　　After the 2008 financial crisis, aluminum prices have been hovering in the low, the National Reserve Bureau at the end of 2008 and early 2009, respectively, 290,000 tons of storage and 300,000 tons, the price of 12350 yuan/ton and 12500 yuan/ton. Market participants believe that the National Reserve Bureau to choose the current node to "put", but also considering the present aluminum price is good, is a better profit opportunities.　　On the other hand, because the auction price on the surface to slightly lower than the current market prices, can also play a role in curbing the CPI rise, in line with the current policy needs.　　Guohua futures had pointed out in a report that the country would not have much impact on the aluminum industry, but would help ease the expectation of a tight supply of aluminium. However, those involved in the bid also said that although it appears that the price of aluminum ingots is lower than the market, but because the successful bidder to take their own goods, bear the cost of transport, it is widely expected that future costs will be relatively high. "A lot of storage warehouses are located in remote areas, even for 1976 of years, with large ingots that are worse than standard quality, but others are willing to take risks."　　said the person. According to people familiar with the matter, the National Reserve Bureau will also in the near future to the previous storage of lead and zinc to take a similar way to public auction.