Imported ferrous scrap prices in South Asia inched up following rising offers from the suppliers driven by a rise in Turkish import prices. Mills in Turkey booked bulk ferrous scrap for August shipments at higher prices than last week with the index for US-origin HMS 1 & 2 (80:20) settling at $253.42/mt cfr on Wednesday, up by $2.59/mt from the day prior.
A few trades for imported scrap were reported in Pakistan on Thursday but Indian and Bangladeshi mills were largely away from the market.
The Davis Index for containerised shredded settled at $277.15/mt cfr India subcontinent, up by $5.1/mt from $272.05/mt cfr on Wednesday.
The Davis Index for containerised US-origin HMS 1&2 (80:20) settled at $257.65/mt cfr India subcontinent, up by $4.65/mt from $253/mt on Wednesday.
Importers believe seaborne trades could remain hit for a while with the availability of sponge iron and domestic scrap at lower prices.
Many small-scale steelmakers are still operating for 12-hours versus the usual 24, impacting production.
The Davis Index for containerised shredded settled, Thursday, at $277/mt cfr Nhava Sheva, up by $4/mt from Wednesday. Trades for shredded in containers were reported at $270-274/mt cfr Nhava Sheva early this week, however, offers from the UK and European suppliers went up to $280/mt cfr Nhava Sheva on Thursday. Pakistani importers offered better prices than their Indian and Bangladeshi counterparts and thus became a preferred market for suppliers.
South American HMS 1&2 (80:20) in containers traded at $245-250/mt cfr Nhava Sheva. A few trades from Australia were reported at $250-255/mt cfr Chennai.
The Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $258/mt cfr Nhava Sheva, up by $3/mt from Wednesday. Only a handful of buyers were interested in booking scrap from Dubai. Their bids were below $250/mt cfr Nhava Sheva.
The index for US-origin HMS 1&2 (80:20) was at $257/mt cfr Nhava Sheva, up by $4/mt from the prior day. A few offers were at $260-265/mt cfr Nhava Sheva with no buyers interested in these levels.
Indian currency appreciated slightly to Rs74.7 against $1, from over Rs76 levels in the prior week.
Market sentiment remained weak as the country continues to struggle with rising COVID-19 cases. A few mills in Dhaka booked imported scrap to meet their minimum requirement.
In the domestic market, billets were offered at BDT40,500/mt ex-yard and local scrap was priced at BDT26,500/mt delivered mill, down by BDT500-1,000/mt from the prior week.
The Davis Index for US-origin containerised shredded settled at $280/mt cfr Chattogram, up by $4/mt from Wednesday. A few trades were reported at the index price. Offers from the UK and US yards moved up to $285/mt cfr Chattogram, with no buyers at those levels. Most importers are hoping for prices to fall in the coming days.
The index for Latin America-origin HMS 1&2 (80:20), Thursday, was at $258/mt cfr Chattogram, up by $4/mt from the prior week. Ferrous scrap importers are looking buy #1 HMS at $260/mt cfr Chattogram from South America and Australia countering the offers of $270/mt cfr Chattogram.
The index for US-origin HMS 1&2 (80:20) settled, Thursday, at $265/mt cfr Chattogram, up by $5/mt from a day prior.
Pakistan’s ferrous scrap importers continue to be most active in the Indian subcontinent. Pakistani buyers are importing scrap as they have limited alternatives in the domestic market. Also, finished steel prices in the country remained high despite weak demand.
The Davis Index for US-origin containerized shredded settled at $280/mt cfr Port Qasim, up by $6/mt from Wednesday. Trades for US-origin shredded reported at $275-278/mt cfr Qasim after $270-272/mt cfr Qasim early this week. Offers for shredded from the UK and Europe suppliers were at $275-280/mt cfr Qasim.
The Davis Index for HMS 1&2 (80:20) of UAE-origin settled at $263/mt cfr Qasim, up by $5/mt from Wednesday. A few trades for mixed HMS 1 and P&S were reported at $265-270/mt cfr Qasim. The daily index for US-origin HMS 1&2 (80:20) was at $260/mt cfr Qasim, up by $5/mt with trades at the index price on Thursday.
($1=Rs74.7; PKR167.77; BDT84.85)