SteelMint learned in conversations with industry participants that imported scrap market in Bangladesh has turned quiet on approaching general elections and overall holiday mood in the country. Most of the participants remained away from major activities, leading to a very diminutive movement of finish steel in the local market.
SteelMint’s assessment for containerized Shredded 211 scrap from Europe and UK stands in the range USD 335-340/MT, CFR Chittagong. Offers have edged down further by USD 5-10/MT against the last report. However, hardly any latest offer is available in the market.
Towards closing of the last week, European containerized Shredded scrap was traded at around USD 335/MT, CFR.
HMS 1 from Chile and Brazil was being offered at around USD 330/MT, CFR and some minor trades concluded at these levels last week. While offers for HMS 1&2 (80:20) from Europe and UK origin majorly heard in the range of USD 320-325/MT, CFR Chittagong.
The price assessment of P&S scrap stands at around USD 340/MT, CFR from Brazil and South America as against USD 345/MT levels last week.
Domestic construction projects have remained halted as the country awaits the outcome of elections. It is expected that the market will improve further and finish steel prices will increase after the election.
Following global scrap prices, domestic ship breaking scrap and local scrap prices have continued downtrend in Bangladesh. Local scrap prices stand in the range BDT 33,500-34,000/MT, (USD 399-405) ex-works inclusive of local taxes.
Ship cutting plate prices remained flat on a lack of competitive steel imports, thus, assessment stands unchanged at around BDT 41,000-41,200/MT (USD 489-492) for 16 mm.
Indian sponge iron export offers moved down by USD 5-7/MT on W-o-W basis to Bangladesh as demand remains bearish amid competitive scrap offers. Latest offers reported at equivalent to USD 340-342/MT, CFR as against last week at around USD 350/MT, CFR Chittagong.
Ship breaking market on a halt – According to reports, Chittagong’s ship buyers have put a halt on activities with the elections looming around the corner. No fresh sale witnessed as buyers continued to focus on smaller LDT vessels amid ongoing shortage of US dollars and hurdles with ensuing new L/C. Price assessment for ship cutting stands at USD 415-420/LDT for general dry bulk cargo, at USD 425-430/LDT for tanker cargo and at USD 435-440/LDT for containers on CNF Bangladesh basis.
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