Trades for imported scrap to India were witnessed to be quiet this week. Offers for HMS observed a slight uptick in line with the global uptrend, while, shredded offers remained firm.
SteelMint’s assessment for containerized Shredded 211 from UK/Europe rest at $290/t CFR Nhava Sheva, remained mostly stable as compared to last week’s closing, however, no trades have got concluded this week, due to major difference between buyer’s bid price and global suppliers’ offers.
Offers for good quality shredded material is being offered above $290/t CFR basis, while, low quality of shredded stand in the range of $280-285/t CFR. A global trader shared that “many steelmakers currently preferring more of sponge iron then scrap due to high offers”.
Even offers for HMS scrap, very less in no. of offers are available from global supplier this week. HMS 1 from UK/Europe is being offered at around $275/t CFR Nhava Sheva and good quality of HMS stand in the range of $265-270/t CFR basis, depending on the origin. Whereas, UK origin HMS 1&2 (80:20) is being reported at around $260/t CFR Nhava Sheva, “majorly mid-size steel mills would go for imported HMS scrap at this level” confided by a western India based major trader.
Very few offers for HMS 1&2 (80:20) from West African origin being reported at $250-255/t CFR basis to Goa, up by $2/t against last week’s closing. Brazil origin HMS (1&2) (80:20) stands in the range of $265-266/t CFR.
Few other grades in the market included cast iron scrap from West Africa being sold at $275/t CFR Goa.
“Currently, demand for finished steel products are very low due to low construction activities in monsoon season, and offers for imported scrap is very tight. So the scrap sellers are willing to wait till Monday.” shared by a SteelMint’s reliable source.
Pakistan scrap market
Around 7,000-10,000 t of Shredded 211 scrap was booked recently at $300/t CFR Qasim from UK/Europe. Fresh offers for Shredded reported at $298-300/t CFR from UK, although buyers are trying to buy at $296-297/t CFR level.
Nowadays, Pakistani buyers are actively booking before the Eid festival holidays as well as taking advantage of low scrap import duty, after Pakistan’s recent budget announcement in Jun ’20.
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