- Higher freight costs disrupt South Asian containerised scrap trade
- Turkish scrap prices capped by weak longs demand despite firmer rebar export offers
South Asia ferrous scrap markets showed mixed trends d-o-d, with prices firming in India and Bangladesh while Pakistan remained subdued and Turkiye held steady. Buying interest was largely cautious amid weak steel demand, monsoon disruptions and wide bid-offer gaps.
India: Imported containerized scrap market strengthened, supported by firmer demand in northern markets and higher seller offers. Shredded scrap was heard at $385-390/t CFR Nhava Sheva, with offers around $400/t and bids near $380/t CFR. HMS 80:20 was around $335-345/t CFR, with African-origin material seeing better demand in North India.
Western Indian buyers remained cautious, while imports continued to be uneconomical for many mills. Buyers largely relied on domestic scrap and DRI, with import demand likely to improve only if overseas prices become more competitive or domestic rebar prices rise further.
Pakistan: Imported shredded scrap market remained subdued, with containerised shredded values heard at $410-415/t CFR Port Qasim. Freight costs and limited container availability continued to complicate cargo loading and dealmaking.
Buying interest remained weak as poor steel demand, heavy monsoon rains and comfortable mill inventories reduced procurement urgency. EU/UK shredded was offered at $415-420/t CFR, against bids of around $410-412/t. Open-yard material was heard at $414-415/t, while yard material was indicated at $420-422/t.
The wide bid-offer gap continued to limit fresh bookings, with BigMint assessing shredded scrap at $415/t CFR Port Qasim.
Bangladesh: Imported scrap market strengthened over the past week, with firmer prices reported across key grades. Australian-origin containerised PNS scrap was at around $415/t CFR Chattogram, while earlier deals for Australian HMS 90:10 were heard at $378/t CFR, HMS 80:20 at $368/t CFR Chattogram.
US-origin HMS 80:20 in bulk was indicated at around $378-380/t CFR Chattogram. Containerised shredded scrap offers were heard at $395-400/t CFR, against bids of around $380-385/t CFR, highlighting a continued bid-offer gap.
Turkiye: Deep-sea imported scrap prices remained stable on 21 August as market activity slowed towards the weekend. HMS 80:20 was assessed at $375/t CFR Turkiye, unchanged d-o-d.
Market sentiment remained steady, with weak finished-steel demand keeping mills cautious on fresh purchases. US-origin and other high-grade HMS 80:20 were indicated at $374-378/t CFR. Meanwhile, Turkish rebar export offers for September shipments firmed to $580-590/t FOB Turkiye, with the assessment rising $5/t w-o-w to $585/t FOB, providing some support to scrap replacement economics despite cautious mill buying.
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