Bangladesh’s bulk ferrous scrap imports witnessed a drastic fall of 86% m-o-m in Aug ’20. The country imported 25,525 t scrap in Aug ’20 as against 184,201 t recorded in the previous month, as per vessel line up data maintained with SteelMint. Bulk scrap imports during August has been registered as the lowest import volume since Jul ’17.
Two bulk scrap vessels arrived at berth last month. Notably imports from USA remained nil in Aug ’20. Whereas, another major supplier Japan only exported two vessels with 25,525 t of scrap.
Bangladesh based steel mills remained less active in booking bulk scrap cargoes during June and July amid sufficient inventories. Also, dull finished steel demand amid COVID-19 lessened scrap bookings as mills were operating at low steel capacity utilization levels.
Quantity in t
Source: SteelMint vessel line up provisional data
Outlook- Around 1,00,000 t bulk scrap cargo bookings have been made in Aug ’20 for September and October deliveries, as per deals recorded by SteelMint. Mills have resumed scrap import bookings actively in anticipation of steel demand rebound in the coming months. Mills have been actively booking scrap cargoes from US and Japan. Thus, it’s expected that import volumes will increase in coming months.
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