Asian imported scrap markets have seen hike in the offers by USD 5-10/MT on W-o-W basis. Another bulk vessel was booked by Indian steel mill this week apart from 4 vessels which are likely to arrive by end-May’18.
As per recent conversations with market participants SteelMint learned that, recently a bulk scrap vessel has been booked in India. A vessel containing 32,000 MT mix-grade scrap has been sold by a leading supplier from USA for which delivery is scheduled before 20th June. A leading scrap importer based in West coast in India booked the vessel comprising 24,000 MT Shredded, 5000 MT P&S and 3000 MT HMS 1&2 scrap at an average price of USD 384/MT, CFR Kandla.
Following healthier sentiments for scrap purchases, the market has also observed several trade deals in containers this week. Shredded scrap from UK and Europe sold in containers at USD 388-390/MT, CFR Nhava Sheva. While offers for Shredded in containers remain in the range of USD 390-395/MT, CFR Nhava Sheva.
Offers for South African HMS 1&2 scrap assessed at USD 375-377/MT, CFR while price assessment for Dubai origin HMS 1 remained at USD 377-380/MT, CFR Nhava Sheva. West African HMS scrap assessed at USD 355-360/MT, CFR levels while Turning from UK, Europe was being offered at USD 355/MT, CFR Nhava Sheva this week.
Indian domestic scrap price scenario, week 16
On W-o-W basis, domestic scrap prices in India remained range bound and prices observed marginal uptrend in southern India while downtrend in north India. Currently, HMS (80:20) prices in Mumbai are assessed in the range of INR 25,900-26,100/MT and in Chennai assessed at INR 26,200-26,400/MT (Basic prices, GST @ 18% extra).
Pakistan steel mills turn active for scrap bookings before Ramadan holidays –
Steel mills have increased restocking activities of scrap amid optimism on a market which usually turns positive after Ramadan festival in Pakistan.
Pakistan observed few trades at slightly increased prices this week. Importers have booked Shredded scrap in containers around 3000 MT from USA at USD 385/MT and 2000 MT from UK/Europe at USD 380/MT on CFR port Qasim basis. Offers from USA/UK assessed in the range of USD 388-393/MT, CFR Pakistan. HMS 1 from UAE assessed at USD 382-385/MT, CFR.
Thus offers in Pakistan moved up USD 5-7/MT on W-o-W basis. Participants are more optimistic towards international markets as local prices are at par with an international market in Pakistan. Amid increasing buying inquiries, importers from Pakistan are likely to restock good volumes of scrap in near terms.
Bangladesh scrap offers remain strong, bookings are expected shortly –
Imported scrap market in Bangladesh witnessed rising inquiries this week. Buyers kept showing buying interest at levels down by USD 5-10/MT than current offers. Amid disparity in offers and buying interest expectations, no major deals were reported this week.
Buyers are expected to resume bookings shortly. Shredded scrap offers in containers heard in the range of USD 400-405/MT, CFR. A bulk vessel also heard to have booked by leading importer in Bangladesh however, the information could not be confirmed at the time of publishing this report.
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