The South Asian ferrous scrap prices showed a varied trend despite subdued buying interest from major markets. Indian buyers remained absent from the seaborne market due to better options available domestically. Bangladesh and Pakistan remained mostly stable, although demand slowed due to Ramadan.
Shredded scrap offers edged up by $2/t in India but remained unchanged in Pakistan and Bangladesh compared to the previous closing on Friday. US bulk HMS (80:20) offers to Turkiye increased by $1/t.
Overview
Indian buyers were notably absent from the global seaborne market, largely due to a lack of interest in purchasing imported scrap. This was influenced by the availability of cheaper domestic scrap and sponge iron. Furthermore, the upcoming Holi festival and imminent general elections, beginning on 19 April, have started to affect project purchases within the domestic market.
Indicative offers for shredded scrap from the UK/Europe and the US were heard in the range of $400-410/t CFR, while HMS (80:20) offers from the UK/Europe and West Africa were heard at around $370-375/t CFR.
Two noteworthy deals were reported to have been finalised for arrival cargoes. Approximately 500 t of HMS (handloaded) from Latin America was sold at approximately $385/t CFR Punjab for a March shipment. Another deal involved 500 t of Brazil-origin HMS (80:20) (machine loaded) at around $372/t CFR west coast of India.
Pakistan and Bangladesh have decreased their purchases of imported scrap due to ongoing Ramadan, anticipating an improvement in demand post-Eid. Indicative offers for shredded scrap to Pakistan were noted at approximately $410-415/t CFR Qasim, while for Bangladesh, they stood at around $405-410/t CFR Chattogram. HMS (80:20) offers to Bangladesh from the UK/Europe were assessed at $395-400/t CFR levels.
Turkish imported ferrous scrap prices held firm amidst resistance from suppliers to yield to pressure from aggressive buyers seeking lower prices. Turkish mills, cautious in a bearish market, rejected offers above $380/t CFR for HMS (80:20). Most tradable values hovered in the high $370-$380/t CFR range. Steelmakers attributed their cautious outlook to a downturn in iron ore prices and weak steel futures, while recyclers remained reluctant to cut prices despite market sentiment.
European and Baltic suppliers adopted a wait-and-see approach, with expectations of settling the HMS (80:20) market around $380-$385/t CFR. Meanwhile, the shortsea market reported transactions at a minimum of $355/t CFR for ex-Balkan HMS (80:20), with a recent deal from Romania closing around $357-358/t CFR.
Price assessments
India: UK-origin shredded scrap indicatives were assessed at $405/t CFR Nhava Sheva, up by $2/t compared to the last closing on Friday.
Pakistan: UK-origin shredded scrap indicatives were kept unchanged at $410/t CFR Qasim.
Bangladesh: UK-origin shredded scrap prices were assessed stable at $405/t CFR Chattogram.
Turkiye: US-origin HMS (80:20) bulk prices were assessed at $379/t CFR Turkiye, up by $1/t.
