The ferrous scrap market in South Asia extended its silence with prices remaining flat on a d-o-d basis. No major activities were reported in the Indian market as buyers indicated they would prefer to resume procurements after the New Year holidays.
After Bangladesh, now Pakistan’s ferrous scrap market is also having a major issue with LC openings which has been impeding major trades in the past few weeks.
Bangladeshi buyers were not active in the market today but a slight improvement is being witnessed just ahead of the weekend. This trend is being repeated for some time.
The recent round of Turkish deals might pull up Asian offers by $10-15/t from current levels.
Due to the upcoming holidays worldwide, offers and bids are limited in the international market at present and shipments will happen only post-the holiday week.
Market comments-
“Pakistani market participants are in the wait-and-watch mode for the time being. A clear direction can be seen only after the New Year holidays. Fresh bookings are not happening now due to bid-offer disparities,” said a trader from Pakistan.
“Indian buyers are waiting for better prices. Deals are happening but the volumes are not large, and no excess buying is being done by mills, only as per requirements,” said an official with an Indian mill.
SteelMint’s price assessment
- Europe-origin shredded scrap offers into India were at $440-45/t CFR Nhava Sheva, unchanged on a d-o-d basis.
- UK-origin shredded prices stood at $455-60/t CFR Chittagong, stable on a d-o-d basis.
- UK-origin shredded scrap prices were at $435-40/t CFR Qasim, flat compared to previous offers.
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