South Africa: Ferrous Scrap Exports Fall 10% in April

South Africa one of the leading scrap exporter has witnessed 10% M-o-M decline in its ferrous scrap exports in Apr’18 as against exports recorded in Mar’18. As per recent customs data, South Africa exported 40,630 MT ferrous scrap in Apr’18 while its exports were recorded at 45,386 MT in Mar’18.

On yearly premises, the country witnessed considerable growth by 29% Y-o-Y in ferrous scrap exports in Apr’18 as against 31,596 MT exports in Apr’17. After witnessing around 61% M-o-M growth in Mar’18, South African exports turned downward in Apr’18 amid high global scrap prices and softening demand from major importers.

In Apr’18, the majority of the scrap exports made from South Africa have been done through major ports like Durban (34%), Johannesburg (34%), Cape Town (17%), Pretoria (10%) and Port Elizabeth (5%) respectively.

South Africa exported 55,293 MT Pig iron in Apr’18 against 43,375 MT in Mar’18, up 27.47% M-o-M in Apr’18. USA, the largest importer of South African Pig iron recorded the highest volume of imports since June 2014. Increasing Pig iron exports could have reflected in the marginal growth in domestic scrap consumption and fall in scrap exports in South Africa.

India remained the largest importer of ferrous scrap in Apr’18 – India imported highest 16,323 MT ferrous scrap in Apr’18, down 10% M-o-M as against 18,069 MT in Mar’18 from South Africa. While Pakistan imported 12,020 MT as against 19,574 MT in Mar’18. Top two importers India and Pakistan occupied 40% & 30% share of total ferrous scrap exports from South Africa in Apr’18.

On the other hand, Bangladesh witnessed a sharp growth of 276% M-o-M in scrap imports from South Africa and imported 10,606 MT occupying 26% share in total exports. Also, Indonesia witnessed sharp fall in scrap imports from South Africa in Apr’18.

South African scrap exports down 17% Y-o-Y during Jan-Apr’18 – South Africa exported 141,948 MT ferrous scrap during Jan-Apr’18, down 17% Y-o-Y against 170,695 MT scrap imports recorded during the same period last year.

During Jan-Apr’18, except India, all other major importers witnessed fall in scrap imports from South Africa. India imported highest (62,754 MT, +11% Y-o-Y) occupying 44% share in total ferrous scrap exports from South Africa. While Pakistan remained second largest importer with 53,173 MT (-28% Y-o-Y) imports, following which Bangladesh imported 14,031 MT (-5% Y-o-Y) ferrous scrap from South Africa.

According to the data released by World Steel Association, crude steel production in South Africa stood nearly stable at 2.08 MnT during first four months in CY18, as against 2.07 MnT produced same period last year.

Country-wise South Africa ferrous scrap exports –

Quantity In MT,
Source: SteelMint Stats