Indian imported ferrous scrap offers rose on Wednesday and suppliers expect prices to remain high on global cues. Most suppliers withdrew previous offers and refused to close deals at lower levels.
Rising daily productions and increased HRC prices in the domestic market have increased demand for scrap. On the other hand, limited containerized scrap offers in the global market have tightened supplies. A few trades for HMS scrap from Dubai, the US and Australia were reported.
In Turkey, the daily US-origin HMS 1&2 (80:20) settled at $291.25/mt cfr Turkey while offers remained at $295-300/mt cfr Turkey. A leading mill paid upto $299/mt cfr Turkey for US-origin HMS1&2 (80:20) which spurred a further rise in prices on Tuesday. Market sentiment is upbeat in Turkey amid steady demand from billet and rebar producers.
The daily Davis Index for containerized shredded on Wednesday was flat at $318/mt cfr Nhava Sheva from Tuesday. UK-origin containerized shredded were offered at $320-325/mt cfr Nhava Sheva and Mundra on Wednesday. Traders actively bought more cargoes in anticipation of strong scrap demand in mid-September.
In the bulk market, Indian mills were slow and showed limited interest. Offers for HMS 1&2(80:20) were heard at $312-315/mt cfr Kandla, however, no trades were reported. Indian steelmakers continued to seek billet export price of $425-430/mt fob India, despite lack of interest from China and Southeast Asian markets. Iranian mills sold billet and slab at $400-405/mt fob Iran. In SE Asia, Philippines-based steelmaker bought billets at $440-445/mt cfr Philippines.
The daily Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $304.33/mt cfr Nhava Sheva Wednesday, up by $0.83/mt from Tuesday. Deals for Dubai-origin HMS 1&2 (80:20) were at $303-305/mt cfr Nhava Sheva, up $3-5/mt from Friday. Suppliers refused to accept lower bids of $290/mt cfr Nhava Sheva. #1 HMS scrap from Dubai yard traded at $308-310/mt cfr Nhava Sheva on Wednesday.
The index for US-origin HMS 1&2 (80:20) Wednesday settled at $304/mt cfr Nhava Sheva, up by $3/mt from Tuesday. Bids remained low while trades were reported near the index price.
Trades for HMS 1&2 (80:20) from Australia and Brazil were reported at $300/mt cfr Nhava Sheva and $305/mt cfr Chennai depending on quality. Turning was offered at HMS 1&2 (80:20) at $275-280/mt cfr Nhava Sheva on Tuesday. NP Busheling scrap traded at $335/mt cfr Vizag with offers at above $340-345/mt cfr Vizag on Wednesday.
Subcontinent
The Davis Index for containerized shredded, Monday, settled at $309.9/mt cfr India subcontinent, up by $0.9/mt from Tuesday. The daily Davis Index for containerized US-origin HMS 1&2 (80:20) settled at $296.5/mt cfr India subcontinental, up by $2.3/mt from $294.2/mt cfr India subcontinent on Tuesday.
($1=Rs73.06)