- Comfortable inventories limit mills’ buying urgency
- Wide bid-offer disparities reflect cautious sentiment
Imported scrap prices in Bangladesh continued to firm up w-o-w on 8 April, with shredded offers rising to $415-425/t CFR Chattogram, while HMS offers were heard at $385-395/t and PNS at $422-430/t, depending on origin and availability. Despite firmer offers due to tight supply, buying activity remained limited as mills adopted a wait-and-watch approach.
BigMint’s weekly assessments
- European-origin containerised HMS (80:20): $392/t, up $7/t w-o-w
- European-origin containerised shredded: $418/t, up $8/t w-o-w
- Japanese-origin bulk H2: $393/t, up $3/t w-o-w
- US-origin bulk HMS (80:20): $400/t, up by $2/t w-o-w
A Chattogram-based trader noted that no major bookings were concluded by leading mills in early April, as inventories remained sufficient. “Buyers are bidding much lower than current offers. For instance, shredded from Australia is offered at $420-425/t, but Chattogram mills are indicating interest only at $400-408/t, keeping them out of the market,” he said.
Deals were sparse, though 1,000 t of Hong Kong-origin PNS were sold at $415/t CFR Chattogram, after earlier offers at $425-430/t failed to attract buying interest. “We had to reduce offers slightly as bids were around $410-415/t. The gap is widening,” a trader commented.
Offers remain firm on tight availability
According to an Australia-based supplier, shredded scrap was quoted at $405-410/t for UK origin and $412-415/t for Australia origin, while lower-priced availability remained limited. “Shredded and busheling are not available at lower levels. Higher offers come with longer delivery timelines,” the supplier said.
Indicative prices from Oceania and East Asia firmed up over the week, with levels on 2 April heard at $385/t for HMS (80:20), $395/t for HMS 1, $410-415/t for shredded, and $422-425/t for PNS, which further increased by 8 April to around $390/t, $400/t, $420/t, and $428-430/t, respectively.
A Dubai-based trader added, “India is not workable right now as buyers are bidding too low, so more focus is shifting to Bangladesh.”
Brazil-origin HMS was heard at $375-380/t CFR (2-3% impurities) and around $390-400/t for better quality (~1% impurities), while shredded offers stood near $415-420/t, though availability remained limited. Busheling was indicated at $425-430/t CFR, with delivery timelines extending to 30-40 days.
Bulk trade offers limited support
On the bulk side, around 10,000 t of cargo from Singapore were booked, including HMS 80:20 at $400/t and PNS at $420/t CFR Chattogram. Meanwhile, bids for Australian-origin shredded in bulk were heard at $405-410/t CFR with HMS 1 loadings, but no deals were concluded at these levels, as sellers held back despite firm pricing, a Singapore-based trader noted.
Domestic market stable, demand moderate
Despite firm domestic prices, mills remained cautious. “Demand is steady but not strong enough to justify aggressive buying at current import levels,” a mill source said. Domestic scrap prices were heard at BDT 65,000-68,000/t ($529-554/t), while rebar prices stood at —
- Chattogram: BDT 95,000-96,000/t ($773-782/t)
- Dhaka: BDT 90,000-91,000/t ($733-741/t)
Outlook
Scrap prices are expected to remain firm in the coming days, supported by tight availability and higher global offers. However, wide bid-offer gaps, comfortable inventories, and cautious mill participation are likely to keep trading activity limited. “Mills will continue buying only when required,” a trader summed up, indicating a need-based market with selective trades despite firm pricing trends.
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