Subcontinental shipbreaking prices have been on an uptrend, especially in Pakistan and Bangladesh in the prior week, supported by healthy demand. India, however, witnessed a fall in steel plate prices by almost $14/mt.
India
The prices for HMS maintained an uptrend, causing buyers to shy away from purchases. Demand from auto and infrastructure sector has picked-up pace but prices of steel plates slumped by $14/mt.
The end-buyers from India are bidding competitively for tonnages as the domestic steel market is spiking.
Indian Stainless Steel Development Association (ISSDA) has urged the government to remove 2.5pc import duty on ferro-nickel and stainless steel scrap to provide stimulus to domestic manufacturing.
Pakistan
The steel plate prices have increased significantly last week. The demand for large LDT units has gained momentum with buyers looking to secure tonnages to meet the market appetite. The country continues to face oxygen cylinder’s scarcity with the rising number of COVID-19 case.
Gadani is likely to take a breather in holiday season, but is expected to return in full swing in 2021.
Bangladesh
The steel prices have registered an uptick and settled at $400-430/mt. The prices are likely to be bullish for some time with vessel offers having started to return. Sales have slowed and were diverted to other regions including Pakistan, resulting in low supply and no-sale.
Turkey
The local steel prices remain bullish with an additional $15/mt in the prior week. Imported scrap prices have reached around $465/mt, up by $20/mt. Turkish Lira has marginally improved and settled at TRY7.55 against the US dollar.
The prices are expected to rise further in the coming weeks. The yards are full, but demand is likely to remain sluggish.