Imported Scrap Prices Remain Firm – Week 53

Seaborne scrap price remained quiet this week amidst holiday season. Prices corrected marginally by USD 3-5/MT.

Turkey the largest buyer of seaborne scarp has marginally corrected its scarp buying by USD 3/MT in the beginning of the week. Present trade reported quite due to the holiday seasons. SteelMint assessed prices for HMS 80:20 are at USD 288-290/MT CFR Turkey, US origin. Europe origin prices are assessed at USD 279-281/MT.

Asia market was also reported silent over high offer price and low buying interests. “Scrap supplying country is still active in holiday for bulk vessel booking and not to a container booking” said a US/UK based supplier. He added that Asia market is not involved in scrap trade presently as offers are high by USD 10-20/MT considered present yard buying levels.

Few suppliers said present workable containerized offer of shredded scrap to India are at USD 300-310/MT which is not practical to offer to Asia buyers. Similar grade to Bangladesh are at USD 310-320/MT for Jan’16 delivery.

“Scrap prices will remain at this level till Jan’17 and the impact of fall in coking coal price will not have immediate effect” said another scrap supplier from UK.

It’s been heard that the Middle East heavy melting scrap was traded at USD 260/MT to Pakistan and at USD 255/MT to India this week. “Alloy steel buyers in India are active where as steel smelter are not interested at this price level” reported a Mumbai based scrap indentor.

It should also be noted that 2 bulk vessels have reported to Indian seashore to be unloaded in CY17. One carrying 26,820 MT material to Kandla port and the other carrying 25, 960 MT scrap to Chennai port both from USA. In last two months nine bulk vessels have been recorded.

India west region domestic Sponge iron (C-DRI) FeM 80% and Lumps 100% prices are assessed at USD 260-270/MT down by USD 6-8/MT W-o-W

Global imported ferrous scrap offers in week 53:

Source: Steelmint Research