SteelMint learned from industry participants that Indian imported scrap offers have dropped sharply this week amid further weakening of global prices, in addition to which the continuous fall in prices of other alternatives like domestic scrap and semi-finished products are putting pressure on imported scrap. As the market is carefully watching the current trend, decent bookings have been reported albeit in limited quantities.
SteelMint’s assessment for containerized Shredded from US and Europe, UK currently stands at USD 310-315/MT CFR dropping sharply by USD 10/MT against USD 320-325/MT levels in last week’s report while few bookings have been reported at these prices. During the opening of the week, deals for shredded scrap were concluded at USD 317-320/MT CFR, post which the offers started to decline sharply. Few leading suppliers from UK are reported to be offering at a premium of USD 3-4/MT.
UK and Europe origin HMS scrap in containers are being offered in the range of USD 295-300/MT, CFR Nhava Sheva, down USD 5/MT from last week. While offers for South African origin HMS 1&2 was reported at around USD 315/MT, CFR.
Buying interest for West African origin HMS in 20-21 ft containers remained quite low at USD 290/MT, CFR while no major offers were available at such low prices. For Dubai origin containerized HMS 1&2, no significant trades were reported this week.
As the global scrap prices are looking to have bottomed out now with CFR Turkey bulk HMS 1&2 (80:20) offers reaching as low as USD 276-278/MT, CFR levels this week, the market is expecting a price correction in the short term, while any further slide in offers seems unlikely. Imported scrap offers to Pakistan witnessed further slide towards the closing of the week, following the global trend. Assessment for Shredded scrap from US & UK stands at USD 310-315/MT, CFR Qasim dropping by USD 3-5/MT against the opening of the week.
Local scrap prices continue to drop – Amid domestic billet and sponge iron prices having significantly fallen in recent weeks, local scrap prices further witnessed a drop of INR 700-900/MT this week. Assessment of local HMS 1&2 (80:20) stands at INR 23,400-23,600/MT (USD 337-339), ex-Mumbai significantly down by INR 900/MT as against last week and INR 22,100-22,300/MT (USD 318-321), ex-Chennai.
Leave a Reply