Pakistan based market participants in conversation with SteelMint shared that this week ferrous scrap importers resumed bookings of containerized scrap. The buying interest has improved a little in this week but the market has not gained the expected momentum after a break for Eid holidays yet.
As per assessment, offers for Dubai origin HMS 1&2 in containers increased by USD 10-12/MT on W-o-W basis. Fresh offers stood at USD 335/MT, CFR Port Qasim. Last week offers were assessed at USD 320-325/MT, CFR Port Qasim.
A Pakistan based steel mill is heard to have booked Shredded containerized scrap from USA at USD 338/MT, CFR Port Qasim down by USD 6-7/MT W-o-W basis.While offers for UK origin Shredded scrap in containers is assessed at USD 340/MT, CFR.Offers are down by USD 10/MT against last week’s offers which were hovering in the range of USD 345-355/MT, CFR Port Qasim depending on the type of yards.
Some offers for Canada origin shredded scrap assessed this week at USD 343/MT, CFR Port Qasim.
“The market participants were expecting that there would be significant fall in the prices after a restart from holidays but that has not happened rather, scrap market in Pakistan is still firm amid increasing offers”-a participant shared with SteelMint.
Most of the buyers preferred containerized scrap imports rather than bulk cargo bookings again in this week.
“The market is running really slow and it is projected to remain sluggish for one more coming week. We have brought scrap in the containers for the time being”-added by an industry participant.
Pakistan bulk scrap imports at 0.27 MnT during Jun-Aug’17 –
Pakistan ferrous scrap imports have increased sharply in this fiscal. The country imported 0.11 MnT ferrous scrap in Aug’17 against 0.13 MnT in Jul’17.United States supplied highest 0.07 MnT ferrous scrap followed by New Zealand (0.03 MnT) and Australia (0.02 MnT) respectively in Aug’17 to Pakistan.
Imports witnessed 15 % M-o-M fall in Aug’17 against 0.13 MnT imports in Jul’17.Fall in the scrap imports in Aug’17 could be attributed due to increased offers by USD 12/MT M-o-M as monthly averaged offers were at USD 317/MT in Jul’17 against USD 305/MT in Jun’17.
Pakistan’s crude steel production up 31% during Jan-Jul’17 –
Pakistan produced 0.33 MnT crude steel in Jul’17. From Jan-Jul’17, Pakistan produced 2.64 MnT crude steel compared to 2.02 MnT in same time frame last year.
Pakistan Domestic Steel Prices Stable –
The domestic steel prices in Pakistan remained almost firm this week owing to stability in scrap offers and moderate demand by local buyers.
The offers are reported – 12mm rebars at 84,000-86,000 Pakistan Rupee (USD 798-815) & Billet at 65,000-67,000/MT Pakistan Ruppee (USD 615-635); ex-mill, Karachi & including of 17% local taxes.
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