Offers for imported HMS in India rose after UAE, a major supplier country imposed a ban on exports of ferrous scrap for four months.
Market participants believe Oman and Bahrain are also likely to follow suit. Containers still are piled up at Indian ports as mills are unable to clear the backlog.
Following a rise in imported scrap prices, domestic suppliers raised prices amid limited availability resulting from low generation rate. Buyers bid for HMS scrap in the range of $235-245/mt cfr Nhava Sheva and Chennai depending on the origin. Some suppliers though were in a wait-and-watch mode.
The daily Davis Index for containerised shredded remained unchanged at $258/mt cfr Nhava Sheva on Monday. Shredded in containers was offered at $260-265/mt cfr Nhava Sheva, however, mills were hesitant to book more material.
Despite the ban announcement, there were few offers from UAE. The daily Davis Index for UAE-origin HMS 1&2 (80:20) in containers was at $249/mt cfr Nhava Sheva, up by $4/mt. Offers for US-origin HMS 1&2 (80:20) were at $245/mt cfr Nhava Sheva, up by $5/mt from the Friday.
In Pakistan, the daily Davis Index for containerised shredded settled at $273/mt cfr Port Qasim on Monday, up by $2/mt. The daily Davis Index for HMS 1&2 (80:20) UAE-origin settled at $248/mt cfr Qasim, up by $3/mt from Friday. UAE suppliers offered HMS1&2 (80:20) at $255-260/mt cfr Qasim, up by $5/mt from the prior week.
Offers for #1 HMS and P&S mix were flat at $260-265/mt cfr Qasim with no takers. UK-origin shredded was traded at $275/mt cfr Qasim.
In Bangladesh, the Davis Index for containerised shredded settled unchanged at $278/mt cfr Chattogram from Friday. Demand from mills remained subdued due to the ongoing Ramadan holidays.
The daily index for Latin America-origin HMS 1&2 (80:20) inched up to $246/mt cfr Chattogram, up by $1/mt from Friday. Trades concluded in the range $245-250/mt cfr Chattogram. The index for US-origin HMS 1&2 (80:20) settled at $258/mt cfr Chattogram, down from $260/mt cfr Chattogram. Bids then dropped to $250-255/mt cfr Chattogram.
Imported ferrous scrap prices in Taiwan remained unchanged from Friday.
The daily Davis Index for containerised US-origin HMS 1&2 (80:20) settled flat at $230/mt cfr Taiwan on Monday. Offers for HMS 1&2 (80:20) were at $230-235/mt cfr Taiwan. US-origin containerised shredded was offered flat at $240/mt cfr Taiwan in TEUs. Traders in Taiwan are expecting prices to further rise by $5/mt this week on increasing demand. US yards raised offers amid tight supply. Japanese HMS 1&2 (50:50) was offered at $250-255/mt cfr Taiwan. But bids were at $240-245/mt, an increase of $10-15/mt from prior Monday.
Domestic rebar and scrap prices remained majorly flat. Japanese billets were offered at $405/mt cfr Taiwan on Monday for July shipments, up by $5-10/mt from the prior week.