Online Estimating Guide - Supply
General
Steel is a commodity produced world-wide and sold competitively on the global market.
The advances in communications technology have made the world New Zealand's market place. New Zealand is no longer considered an isolated and distant customer by steel producers around the world.
New Zealand's free market approach to steel construction and efficient ports mean that merchants can source the best material at the best price from anywhere in the world, at minimal lead times.
The majority of hot rolled steel sections are sourced from Australia . Thai, Japanese, Korean, and British steels are also used in New Zealand .
High quality plate is produced in New Zealand by New Zealand Steel Ltd at Glenbrooke and is used in Steltech welded beam manufacture and other general plate work associated with steel construction. Plate can also be sourced internationally as is done for hot rolled sections.
The supply rate for steel sections and plate is typically quoted in $/metre or $/tonne terms. These are reasonable units of measurement reflecting the cost of energy and high capital input per tonne of the commodity smeltered, rolled and shipped. It also allows steel supply quantities to be easily measured and price calculated for.
For projects using less than around 50 tonnes of steel New Zealand merchants will typically supply steel ex -stock, from their own warehousing facilities. For larger quantities the material may be indented from overseas as a job lot. Significant discounts can be achieved to the ex-stock price in this instance as the merchant is not required to store the material at their own yards and will arrange delivery direct from the port to the fabricator. However sufficient time needs to be allowed to order and land the material from overseas. This period can be in the range of 4 to 10 weeks for common section sizes from as far away as Britain . Where special rollings must be booked at overseas mills then this lead time can increase.
Waste
Typical average "wastage" of ordered hot rolled section lengths compared to actual lengths in the measure ranges from 2 to 7%. This comprises end cuts to ensure squareness and intermediate cuts of more than one member from a longer stock length. This "wastage" reduces with longer member lengths and single members cut from stock lengths.
The lower level of wastage can be achieved where care has been taken to specify fabricated steel lengths that match standard lengths supplied by the mill. Otherwise the wastage will be higher and welded splicing of sections may be necessary.
Most sections are supplied in increments of 1.5 metre for lengths between 9.0 to 18.0 metres long. For quantities of individual sections totaling 10 tonnes or more mills will supply to specified nominal lengths between 6 and 18 metres long. Lengths in excess of 18 metres are available upon request.
Steltech sections are custom made to order, so are normally supplied pre-cut to length and pre-coped. No wastage therefore occurs or needs to be allowed for in the estimate, where Steltech sections are used.
Steel Section Supply Rates
Typical supply rates in New Zealand , at time of publication, for indent or ex-stock orders are as follows. Sections covered include hot rolled Universal Beams and Columns, Taper Flange Beams, Parallel Flange Channels, Equal and Unequal Angles, Welded Beams and Columns, Steltech sections, Square, Rectangular and Circular Hollow Sections, Flat Bar and Plate.
Galvanised High Strength Purlins, Girts and associated Brace Channels and Tie Rods are covered at the end of the section.
Rates are based on New Zealand Customs records of landed steel prices in NZ$ including an allowance for transport to fabrication shop, and merchant and fabricator storage and handling costs and margins. Waste allowance is not included and should be added in accordance with the previous recommendations.
