Bangladesh: Bulk imported scrap trades remain absent, finished steel trade slows down on lockdown restrictions

Global scrap prices have registered a downturn with the recently concluded Turkish trades at lower levels. Imported scrap prices to Bangladesh too followed the global price trends. Bulk trades remained absent for yet another week due to disparity in bids and offers and the ongoing lockdown. On the other hand, continuous fluctuations in freight rates kept the buyers away from the market.

SteelMint’s assessment for Japanese H2 stands at $480/t CFR Chittagong levels, mostly stable w-o-w.

Meanwhile, “Bangladesh mills are in the lookout for cargoes but no new deals were concluded. Bulk freight has again skyrocketed from USA West coast. So new offers from USA to Bangladesh would need to be around $490-495/t basis for HMS 1&2 to make it at par offers. However, the last few deals concluded a couple of weeks back were at $470/t CFR ” shared a prominent bulk scrap trader.

Lockdown restrictions keep container market muted

“At the moment there is no active interest in booking fresh containers amidst apprehension that govt may go for a strict lockdown, closing all manufacturing units which are currently exempted. Container offers in obsolete grades moderated as not much buying is happening in any subcontinent markets” highlighted a prominent scrap supplier.

• Around 3000 t of Brazilian HMS has been booked at $460/t CFR Chittagong levels.
• No firm deals for Shredded scrap were heard but SteelMint’s assessment stands at $480/t CFR Chittagong levels

Indian sponge iron export prices remain stable in recent deals: SteelMint’s weekly benchmark sponge iron (80 FeM, 100% lumps) export price assessment remained stable as nearly 10,000 t deals were reported at $430-435/t CPT Benapole, equivalent to $445/t CFR Chittagong, Bangladesh.

Domestic rebar offers inch up: Domestic rebar prices have increased this week however trades have remained low amid lockdown. Currently offers from major mills stand at BDT 70,500-71,000/t exw Chittagong levels, although Dhaka-based mills have also raised offers and are quoting in the range of BDT 68,000-70,000/t exw, up by BDT 2,000-3,000/t. Shipyard scrap prices too have increased by BDT 4000/t to BDT 46,000/t exy levels.