In the span of last one week, global scrap market fell sharply and rebounded again. Offers for imported scrap to Bangladesh remained range bound last week, after witnessing some sharp fluctuations during the closing of last week. Buying interest from major mills remained subdued, while many sellers too offered less material to Bangladesh on good sales in other South Asian markets. Mills continued to remain inclined towards domestic scrap.
SteelMint’s price assessment for containerized Shredded scrap from UK/Europe currently stands in the range of USD 290-295/MT, CFR Chittagong, down by USD 5/MT W-o-W. Although few North American shredded offers were also heard at around USD 285/MT, following the fall last week, however, global uptrend is likely to pull up the prices in the coming days, in spite of buyers being stubborn at lower bids, keeping trades slow.
Already, few shredded offers from Northern Europe origins were recorded at USD 295/MT levels indicating towards the uptrend.
HMS1 from Brazil is still being offered at USD 270/MT CFR Chittagong, however not much trades were reported as most medium mills leaned towards local scrap on favourable prices. Notably P&S scrap offers from Brazil increased on a weekly basis and were reported around USD 300/MT, CFR Chittagong, up by USD 10/MT CFR.
Local scrap sales improve – Amid fluctuating imported scrap prices in addition to the Advance tax burden, many medium mills in Bangladesh are preferring to use more local scrap for their steel production, resulting in good sales for domestic scrap.
Local Ship yard melting scrap was reported at around BDT 29,000/MT (USD 341) ex Chittagong inclusive of taxes, while ship plates were sold at BDT 38,000-39,000/MT (12-16mm) ex Chittagong.
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