Imported shredded scrap prices in South Asia rose further due to higher offers and increased container freight charges. Containerized trades, however, slowed down in Bangladesh and Pakistan ahead of the Eid-al-Adha holidays scheduled next week. Indian mills in Mundra and Goa this week have returned to the market for HMS scrap after a month-long hiatus.
The daily Davis Index for containerized shredded, Thursday, settled at $289.41/mt cfr India subcontinent, up by $0.24/mt from $289.14/mt cfr India subcontinent.
The daily Davis Index for containerized US-origin HMS 1&2 (80:20) settled at $268.68/mt cfr India subcontinent, down by $1.77/mt from $270.45/mt cfr.
In Turkey, steel mills continued to book bulk ferrous scrap cargoes and the Davis Index for US-origin HMS 1&2 (80:20) on Thursday settled at $267.08/mt cfr Turkey, up by $0.83/mt from a day ago and by around $7/mt from the prior week.
Pakistan
Finished steel demand in Pakistan was healthy as many infrastructure projects are expected to commence after the eid holidays end.
The Davis Index for containerized shredded settled at $293.50/mt cfr Port Qasim Thursday, up by $0.64/mt from Wednesday. Trades for US-origin shredded were at $290/mt cfr Qasim and trades for UK-origin shredded were reported at $293-295/mt cfr Qasim. Offers for the grade on Thursday were at $295-298/mt cfr Qasim with mills resisting to accept prices over $290/mt cfr Qasim.
The Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $285/mt cfr Qasim, down by $1.5/mt from Wednesday. Trades for UAE-origin #1 HMS and PNS mixed were in the range of $290-293/mt cfr Qasim. However, only a few buyers were ready to close deals amid an export ban imposed on ferrous scrap by the UAE government.
Trades for European and Brazilian HMS 1&2 (80:20) were at $275/mt cfr Qasim, up by $5-10/mt from the prior week.
The daily index for US-origin HMS 1&2 (80:20) was at $271.07/mt cfr Qasim, down by $1.43/mt. Trades for US-origin HMS 1&2 (80:20) were reported at $270-275/mt cfr Qasim.
Prices for commercial Bala billet have remained unchanged from two days ago at PKR93,00/mt ex-works Lahore, inclusive of local taxes. Trades for domestic mixed HMS and P&S scrap were reported at PKR72,500/mt delivered Lahore mill, unchanged from the prior day.
India
The Davis Index for containerized shredded, Thursday, settled at $286.00/mt cfr Nhava Sheva, down by $0.13/mt from the prior day. Offers for US-origin containerized shredded were at $290-295/mt cfr Nhava Sheva on Thursday but mills refrained from bidding above $280/mt cfr Nhava Sheva.
Domestic finished steel demand remains weak, but billet exports have picked up again after a short break. Billets are being exported at $420/mt cfr China, up by $10-15/mt from the prior week. Trades for Indian HRC, however, slowed this week due to the ongoing Sino-Indian border tussle and trade tensions.
The Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $268.75/mt cfr Nhava Sheva, up by $1.25/mt from Wednesday. Most UAE suppliers, however, preferred to sell material in Pakistan for higher prices.
A few trades for Brazilian and Australian HMS 1&2 (80:20) were at $260-265/mt cfr Mundra and Nhava Sheva.
The daily index for US-origin HMS 1&2 (80:20) settled at $265.31/mt cfr Nhava Sheva, down by $2.19/mt from Wednesday. Suppliers are offering the grade at $270-275/mt cfr Nhava Sheva.
Bangladesh
Prices for domestic billet and rebar remained hurt by weak demand. Billets were offered at BDT38,000-39,000/mt ex-works while rebar was offered at BDT49,000-50,000/mt ex-yards by small furnaces after discounts.
Oversupply from ship recycling activities in Bangladesh pulled
domestic ferrous scrap prices further down by BDT1000-1500/mt. Domestic ship
breaking scrap traded at BDT22,500-23,000/mt ex-yards Chattogram ($265-271/mt).
Major steel makers like AKS and BSRM, however, continued seaborne trades as the premium they earn on rebar makes imports affordable. Sales bythese mills remain relatively better compared to those by small-scale steelmakers.
The Davis Index for containerized shredded settled at
$296.88/mt cfr Chattogram, down by $0.62/mt from Wednesday. Despite high offers, the index fell due to absence of trades. Steel mills booked shredded from Australia and New Zealand at $290-292/mt cfr Chattogram priced lower than UK or US material. Offers for shredded from leading UK yards remained at $300-305/mt cfr Chattogram.
The index for Latin America-origin HMS 1&2 (80:20)
settled at $277.5/mt cfr Chattogram, down from $282.5/mt on Wednesday. Offers for #1 HMS from Brazil, Chile, and Europe were at $285/mt cfr Chattogram.
Trades, however, were reported at $270-275/mt cfr Chattogram.
The index for US-origin HMS 1&2 (80:20) settled at $285.36/mt cfr Chattogram, down from $287.5/mt cfr Chattogram on Wednesday. Trades reported in the range of $285-287/mt cfr Chattogram.
($1=Rs74.79; PKR168.21; BDT84.84)