Imported scrap offers to India fell by USD 5-10/MT this week owing to subdued demand and increase in sponge iron production in domestic market.
Current offers for containerized HMS (23 tonnes load) from Middle East are assessed at USD 210/MT and 25 tonnes load material at USD 215-220/MT, CFR Nhava Sheva. Meanwhile, South African HMS is also being offered in the range of USD 210-215/MT, CFR Nava Sheva.
Shredded scrap (ISRI 211) offers are assessed at USD 225-235/MT, CFR Nhava Sheva, with no major buying interest.
Scrap prices fall in Turkey
Imported scrap prices in Turkey noticed a sharp corrections this week on account of cheaper availability of billet from China and CIS regions. HMS 80:20 offers from US/Europe are in the range of USD 250-260/MT, CFR Turkey. Turkey is the largest importer of scrap in the world with total import of around 20 MnT pa.
Bangladesh buyers may increase scrap purchases post budget
Bangladesh based steel mills may increase their scrap purchases post union budget, which is to be announced on 2 Jun’16. It is expected that the government will increase import duty on billet in order to support domestic steel mills.
Imported ferrous scrap offers to India in week 22
| Particular | Size | Prices | 1W | 1M | Remark |
| CNF India | HMS(80:20), Europe | 220-225 | – | – | No major buying interest from Indian buyers. Sponge iron prices comparatively cheaper than scrap. Prices unlikely to pick up in near term |
| HMS-1, Middle East | 215-220 | 252 | 252 | ||
| HMS-1&2, S.Africa | 215 | 242 | 240 | ||
| Shredded, Europe | 225-235 | 283 | 275 | ||
| Shredded, US | 225-235 | 283 | 275 | ||
| CNF Taiwan | HMS(80:20), US | – | 264 | 252 | Prices fall on low prices Chinese Billet |
| CNF Turkey | HMS(80:20), US | 260 | 308 | 277 | Turkey scrap prices observed correction on account of fall in Chinese billet prices |
| FoB Japan | Busheling Shredded | – | 260 | 260 | – |
| FoB Europe | HMS(80:20) | – | 282 | 250 | – |
| FoB US East Coast | Shredded | – | 310 | 268 | – |
| CNF Bangladesh | Shredded, US/Europe | 235-240 | – | 300-320 | Bangladesh fiscal budget is likely to be announced in 1st week of Jun’16. Trade community expects scrap buying will resume after budget. |
| HMS 80:20, Australia,Europe | 220-225 | – | 280-310 | ||
| CNF Pakistan | Shredded, US/Europe | 230-235 | – | 290-305 | Buying in Pakistan remained dull and expected to resume post budget. |
Offers in USD/MT
Source: SteelMint Research
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