Offer
prices of ferrous scrap to India have moved up in line with the rise in scrap
prices in global market. Scrap import offers to Turkey and Asian countries have
increased by $10-20/MT last week.
HMS
(80:20) and shredded are offered at $400/MT CFR and $415/MT CFR Nhava Sheva
Mumbai respectively. HMS (80:20) scrap is being transacted at $390-395/MT CFR
Nhava Sheva from UAE.
“We
have started procuring the material in anticipation of appreciation in Rupee in
the coming months. Market does not also look at downsides with the global
support, so far as the demand is concerned”, said a major importer based in
Mumbai.
Bulk shipments for January booked at
$10-20/MT higher to Turkey
Turkish
mills have booked around 10 Deep Sea cargoes last week. Bulk shipments are
$10-20/MT higher for January. US East Coast, UK, Europe and Baltic ports were
the various regions the Turkish mills have booked the cargoes from.
A composite
scrap cargo for 37,000 MT of bonus scrap and 5,000 MT of shredded scrap was
sold at $416/MT CFR Turkey. Offers for HMS (80:20) are prevailing at
$400-406/MT CFR while shredded at $415-420/MT CFR Turkey.
This
latest deal was done at $10-20/MT CFR higher than the last bulk shipment offer
at $385-395/MT CFR Turkish ports during the mid of December 2012.
Imported scrap becomes dearer for
China than domestic
It
is reported that imported scrap to China is more expensive than its domestic
material. HMS 1&2 (80:20) is being transacted at around $415/MT CFR China
and it will be $480/MT including VAT. It is $11/MT higher than the domestic HMS
(80:20) at $469/MT.
According
to the sources, $400-410/MT for HMS 1&2 (80:20) and $405-415/MT CFR for
shredded scrap would be an acceptable level, depending on market demand.
China
is more comfortable with the imports from Japan with small shipments of 3,000-5,000
MT as it will make supply more flexible.
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