Rising global scrap prices and with previous inventory in hand, Pakistan based steel mills have kept away from booking fresh vessels this week.
In conversation with SteelMint, Pakistan based market participants shared that imported ferrous scrap market is volatile and owing to hike in offers in Turkey, global offers have also shown upwards movement.
This has resulted in hike in offers to Pakistan as well. Since most of the Pakistan based steel mills are having inventory left with them for about a week’s time, Pakistan based mills may keep themselves away from booking cargoes this week.
Offer prices for HMS 1&2 (80:20) are assessed at USD 300-305/MT, CFR Qasim and for Shredded are at USD 317 /MT, CFR.
”A 12,000 MT P& S cargo of South Korean/Japan origin was offered to me last week at USD 322-323/MT, CFR basis”, shared a Pakistan based steel maker.
However, it is anticipated that prices may increase further by USD 5-10 /MT on weekly premises. Thus, the prices for HMS 1&2 (80:20) is expected to touch levels of USD 305-310 /MT, CFR and that for the containerized Shredded cargoes are likely to move up USD 320-325 /MT, CFR by end of this week. P&S offers are likely to climb to USD 325-330 /MT ,CFR Qasim by end of this week.
The market participant also highlighted that last week we received an offer for a cargo containing 80% Shredded scrap and 20% HMS at USD 330-332/MT, CFR Port Qasim, although we did not book it.
Trade sources are anticipating prices to remain strong as steel mills in world’s largest scrap importing country – Turkey are quite optimistic about hike in rebar offers and are booking scrap cargoes at increased offers.
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