- Indian imports slow; Pakistan adopts cautious buying approach
- Bangladesh offers firm; Turkiye market stays rangebound
South Asian scrap markets remained mixed on 30 September, with the Indian subdued and Bangladesh seeing firm offers despite slow demand. Turkiye’s deep-sea prices held at around $404/t CFR amid muted trading and firm freight.
India: The Imported scrap market remained subdued, with Bangladesh buyers bidding a maximum of around $370/t for US-origin HMS, while India’s containerised shredded scrap prices continued to decline on 30 September as a weaker rupee, adequate domestic alternatives and high ocean freight costs weighed on import demand. Import activity in India also remained constrained by difficulties in arranging shipments under the new PSIC requirements. Meanwhile, a a t cargo of UK-origin steel turnings was booked at $340/t CNF Mundra.
Pakistan: The Imported scrap market remained a buyer’s market, with suppliers holding material on water while buyers stayed largely inactive. Shredded scrap was booked at $418/t CFR Qasim, with another transaction heard at $420/t subject to vessel availability. Meanwhile, steel units have challenged the new sales tax on power bills, with uncertainty persisting following temporary bill relief/stay orders issued by courts in Islamabad and Peshawar.
Bangladesh: Imported scrap prices remained firm on offers, although demand was slow and buyers continued to resist higher replacement costs. Malaysian and Philippine PNS offers were heard at around $420/t CFR Chattogram, while bulk HMS was offered at around $400/t. Market participants said suppliers were looking to raise prices amid higher overall costing, but buying interest remained limited.
Recent market indications included a Australian PNS deal at $405/t CFR Chattogram. Australian HMS 90:10 was offered at around $400/t, considered too high for buyers. Malaysian PNS was also heard at around $415/t, while Chilean HMS 90:10 was bid at around $390/t CFR, with US West Coast bulk HMS indicated at around $400/t CFR Chattogram.
Turkiye: Deep-sea imported scrap prices remained steady d-o-d on 30 September amid muted trading, with buyers largely on the sidelines while sellers remained optimistic about near-term sentiment. Eurozone HMS 80:20 was heard at a tradable level of around $395/t CFR Turkiye, while US and premium-origin material was indicated at $400-405/t CFR, clustering around $404/t. Shortsea HMS 80:20 was heard at $375-385/t CFR.
Near-term sentiment remained mixed, with bullish freight rates and limited availability of semi-finished material from the Black Sea providing support to scrap prices. Market participants indicated that $404/t CFR could be emerging as a reference level, although firmer October offers from US and European suppliers could push prices higher in the coming week.
Leave a Reply