Go to List

South Asia: Imported ferrous scrap offers see mixed trends

Ferrous scrap prices in South Asian markets displayed mixed trends. In India, offers saw a d-o-d decline of $3/t, attributed to a lack of buying interest and a misalignme...

Melting Scrap
By
313 Reads
21 Dec 2023, 18:53 IST
South Asia: Imported ferrous scrap offers see mixed trends

Ferrous scrap prices in South Asian markets displayed mixed trends. In India, offers saw a d-o-d decline of $3/t, attributed to a lack of buying interest and a misalignment between offers and bids. Pakistan's import offer experienced a drop of $1/t, attributed to limited interest during year-end closures. The Bangladeshi market remained subdued amidst a bearish steel market ahead of the January elections, with offers being held unchanged.

Market overview

India: In India, the mismatch between sellers' asking prices and buyers' bids persisted, resulting in lack of new deal closures lately. Furthermore, as Christmas approaches, only a limited number of sellers are active.

The last reported offers for shredded scrap from Europe were $410-415/t CFR Nhava Sheva, while HMS (80:20) was heard at $385-390/t CFR.

Meanwhile, a few deals concluded in last couple of days for Chennai market, including:

  • 500-t of LMS bundles from West Africa at $370/t CFR.

  • 500-t of turning boring scraps from the Netherlands at $375/t CFR.

  • 500-t of HMS (80:20) from West Africa at $390-395/t CFR.

  • 500-t of shredded scraps were sealed at 415/t CFR from Poland, however, current bids for European shredded are around $410/t CFR.

Pakistan: Market activities in Pakistan have decelerated as a result of year-end closures. Shredded scrap indicative offers were noted at $425-430/t CFR Qasim. Locally, scrap prices remained in the range of PKR 160,000-168,000/t exw.

Bangladesh: The Bangladeshi market also experienced a subdued day, influenced by a quiet domestic steel market on upcoming elections, and limited offers from suppliers amid approaching holidays. The latest offers were reported at $435-440/t CFR Chattogram for shredded scrap and $415-418/t CFR for HMS (80:20).

However, around 1,500 t of HMS bundle scraps from Hong Kong were booked at $410/t CFR Chattogram.

Turkiye: Turkish imported ferrous scrap prices held steady with sellers maintaining firm offers despite a slowdown in Turkish mill interest. Tradable values for US/Baltic-origin HMS(80:20) ranged from $420-$430/t CFR. Seller targets for US-origin were $430/t CFR, while EU-origin targets were at least $420/t CFR. Market participants anticipate a pause in activity leading up to the holiday season, with sellers facing high logistics costs. Some projection of a slight price correction is noted in the futures market.

Price assessments

India: The UK-origin shredded scrap indicatives inched down by $3/t to $412/t CFR Nhava Sheva today.

Pakistan: The UK-origin shredded scrap indicatives down by $1/t to $427/t CFR Qasim today.

Bangladesh: The UK-origin shredded scrap prices were assessed stable at $435/t CFR Chattogram.

Turkiye: The US-origin HMS (80:20) bulk prices were assessed stable $425/t CFR Turkiye.

Outlook

In the short term, clarity is expected to emerge only after European sellers return from holidays. Market participants anticipate an improvement in trade activities post-holiday in India, as steel mills are expected to be vigilant about restocking.

21 Dec 2023, 18:53 IST

 

 

You have 1 complimentary insights remaining! Stay informed with BigMint
;