A bulk scrap cargo booking of 32,000 MT USWC PNW booking was reported to have concluded by a Bangladesh based steel mill earlier this week. The cargo comprised of mixed grades of scrap, out of which Shredded was heard to have booked at USD 283-285/MT, CFR Bangladesh. However the deal price could not be confirmed till the time of publishing this report.
Bangladesh mills have remained active in terms of bulk bookings since past couple of weeks.
Last week, one of the prominent mills in Chittagong has booked a bulk vessel from a USA (west Coast) based recycler, for April 2020 shipment. The 32,000 MT mixed cargo at USD 295/MT CFR for Shredded. The steelmaker has made another booking of 32,000 MT of mixed grade cargo from US supplier at USD 290/MT for Shredded scrap.
Prior to this, one of the major steelmakers in the country had booked 2 bulk cargoes from 2 different US suppliers, at USD 300/MT and USD 295/MT for Shredded basis respectively. The first cargo comprised of Shredded in entirety while the second and was a composite cargo, with both scheduled for April shipments.
Bulk Japanese scrap bookings to Bangladesh- Few trade sources also mentioned that a couple of bulk sales of Japanese scrap were concluded to Bangladesh last week. Nearly 30,000-40,000 MT bulk Japanese scrap cargo was booked, price levels for Bushelling is assessed at USD 296-297/MT, CFR levels.
Hike in container freight rate has lowered interest of containerized scrap bookings. Halt in activities after the coronavirus outbreak in China, negatively impacted the vessels leaving China. This led to reduced container availability and in turn hike in freight rates. Also congestion at ports and major shipping lines resulted in delayed movement of containers which in turn made bulk bookings attractive.
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