Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Imported ferrous scrap price trends in South Asia were mixed with many buyers adopting a wait-and-watch approach after returning from a brief Independence Day holiday, especially in India and Pakistan. 


In Turkey, US-origin HMS 1&2 (80:20) bulk prices remained flat at $285/mt cfr Turkey. Demand for finished steel remained stable while domestic scrap prices showing a marginal decline. In the UK market, yards kept offers firm amid limited availability. 



Bangladesh’s ferrous scrap prices are expected to recover this week as indicated by a rise in inquiries by mills. The impact of heavy rains and flood has subsided, and production activity is now expected to pick up. Buyers are likely to hold off booking more bulk cargoes since pre-booked material has started arriving at the port. With this refill, inventories at hand are expected to last until October. 


The Davis Index for containerized shredded settled at $322.5/mt cfr Chattogram, down by $0.75/mt from Friday. However, fresh offers for shredded from UK yards were at $325-330/mt cfr Chattogram on Monday. Most steel mills in Dhaka could accept raise their bids and meet these levels in the week. 


Supply from Australia and New Zealand has started to thin late last week and on Monday, offers were close to nil. Some mills are thus likely to raise inquiries for South American containerized scrap. 


The index for Latin America-origin HMS 1&2 (80:20) settled at $305.83/mt cfr Chattogram, up by $0.9/mt from Friday. A few containers traded at the index price. Offers for #1 HMS from Brazil, Chile, and Europe were at $305/mt cfr Chattogram, with bids at $295-300/mt cfr Chattogram from small scale furnaces. 

The index for US-origin HMS 1&2 (80:20) was at $308.75/mt cfr Chattogram, up by $0.54/mt from Friday. Sellers offered HMS 1&2 (80:20) in the range $310-315/mt cfr Chattogram. Trades, however, were not reported above $310/mt cfr Chattogram. Most suppliers believe prices are unlikely to fall in the current market dynamics.


Bangladesh’s domestic scrap prices rose following global cues and recovering demand. Ship breaking scrap traded at BDT30,000-31,000/mt delivered mills Chattogram. Scrapped vessal import vessel prices rose by $10-15/ldt on Monday. 



Pakistani ferrous scrap importers have slowed their purchases awaiting clarity in price direction. Finished steel prices in the country were firm fuelled by firm imported scrap prices. Cash flow issues also hit trades.


The Davis Index for containerized shredded settled at $316.17/mt cfr Port Qasim, down by $0.83/mt on Friday. Trades for the US and Europe-origin shredded were at $313-315/mt cfr Port Qasim. Offers from UK supplier yards for the grade were at $317-320/mt cfr Port Qasim. 


In the domestic market, Bala billet prices were at PKR92,500/mt and G-60 billet at PKR97,000/mt ex-works Punjab. Semi-finished steel prices have been rangebound for around two weeks. 


The Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $306.75/mt cfr Port Qasim, up by $0.92/mt from Friday. Offers for UAE-origin mixed #1 HMS and P&S were at $310-312/mt cfr Port Qasim on Monday. Most UAE suppliers have managed to stay in the market despite an official ban on exports. The domestic scrap requirement by the UAE mills was expected to remain high post-COVID-19 with increased investment in real estate and infrastructure projects by the government. 


The index for US-origin HMS 1&2 (80:20) settled at $301.88/mt cfr Port Qasim, up by $1.05/mt from Friday. Most US yards offered material at $300-305/mt cfr Port Qasim. A few trades were reported at $298-300/mt cfr Port Qasim. Mills are working at 100pc capacity now. 


($1= PKR167.6; BDT84.56)




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