Indian imported scrap market remains dull on account of low buying interest which is primarily due to falling steel prices in the domestic market. The offers coming from Dubai for HMS 1&2 (80:20) are at around USD 340-345/MT CFR Mumbai.
Similarly, offers quoted from UK for HMS 1&2 are hovering around USD 350-355/MT and shredded grade is standing at USD 370/MT CFR Mumbai.
The Middle Eastern countries are in a festive mood on account of Ramzan, which has created labor problems, as working hours has been reduced to 4-5 hours a day, which has affected the supply of material from Dubai.
Meanwhile, Rupee which is stuck on 60+ against USD has also subdued the buying interest. Most of the Indian traders are waiting for a renewal in Quarter monetary policy but RBI has disappointed them by keep interest rate unchanged.
However, the strong purchase by Turkish mills from US has pushed up prices in global market. Bookings have been closed for September delivery before the onset of holiday.
A Turkish mill booked a mixed cargo of 40,000 MT. Out of the total quantity, 30,000 MT of material was HMS 1&2 (80:20) and 10,000 MT of plate and structural steel, which was booked at an average price of USD 380/MT CFR Turkey major port.
Another buyer purchased 40,000 MT of mixed scrap from US. Out of the total quantity, 25,000 MT was HMS 1&2 booked at USD 375/MT CFR Turkey and 15,000 MT of Shredded scrap at USD 380/MT CFR Turkey and rest 5,000 MT of Plate and structural at USD 385/MT CFR Turkey.
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