South Asia: Imported scrap markets face lacklustre trade; domestic material gains favour

• Pakistani market expected to pick up only after mid-Oct
• US offers to Turkiye near bottom, prices may stabilise soon

South Asian scrap markets stayed sluggish, with India cautious amid a weak rupee, Pakistan slowed down by floods, and Bangladesh seeing limited bids. In India and Bangladesh, mills preferred domestic scrap for its affordability.

Meanwhile, the Turkish market was steady near critical levels amid weak sentiment.

India: The Indian imported scrap market stayed quiet, with shredded prices holding steady at $360-365/t CFR Nhava Sheva. HMS was quoted at $330-335/t CFR, but demand stayed limited, as rupee weakness and cautious sentiment weighed on buying appetite.

Indian mills stayed reluctant to match higher shredded offers, preferring cheaper domestic substitutes amid rupee depreciation, keeping market activity muted.

Pakistan: The imported scrap market remained slow, with UK shredded offered at $375/t for quick-arrival water shipments and $368-370/t for later cargoes, while workable levels were near $368/t. Mill operations stayed below 40% capacity, with flooding adding to the slowdown. Participants expect activity to pick up only after mid-October.

In Qasim, demand stayed muted, with no significant scrap purchases heard. Dubai-origin HMS offers stood at $368/t CFR. However, weak buying interest kept overall market sentiment subdued.

Bangladesh: Imported scrap activity picked up slightly, though overall trading stayed sluggish as mills preferred domestic scrap. Offers for US/New Zealand shredded were at $375-378/t CFR, while buying interest was limited to $370-372/t CFR.

Turkiye: Turkish deep-sea scrap prices were stable d-o-d after falling at the start of the week, as sentiment remained weak, with fresh trades closing at lower levels. Demand stayed muted, pushing tradable values down to $330-336/t CFR for US/Baltic-origin HMS 80:20 and $328-332/t CFR for EU-origin material.

Market pressure continued, but US sellers’ offers have neared critical levels, which may slow supply and stabilise prices despite weak sentiment.

Price assessments

India: UK-origin shredded prices rose by $1/t to $363/t CFR Nhava Sheva compared to the previous day.

Pakistan: UK-origin shredded indicatives prices fell by $1/t d-o-d at $370/t CFR Qasim.

Bangladesh: UK-origin shredded prices remained stable at $372/t CFR Chattogram compared to the previous day.

Turkiye: US-origin HMS 80:20 bulk scrap prices stood at $336/t CFR Turkiye, stable d-o-d.