- India sees improved buying as rupee strengthens
- Scrap sentiment in Pakistan stays steady despite low utilisation
South Asia’s imported scrap market stayed mixed on 4 February, with India seeing improved buying on currency gains, Pakistan market steady but cautious, Bangladesh largely unchanged amid tight local supply, while Turkiye remaining stable under weak demand and limited deep-sea offers.
Region-wise highlights
India: Imported scrap buying interest in India improved as the rupee strengthened, prompting mills to resume purchases. Recent deals included turning scrap from the United Kingdom at $300/t CFR Chennai and HMS 80:20 at $325/t CFR Chennai. From the United Arab Emirates, HMS 90:10 sold at $370/t CFR Mundra (ICD Ludhiana), while 300 t of LMS bundles were booked at $325/t CFR Mundra.
Middle Eastern shredded offers to India moved higher to $378-380/t amid tightening domestic availability. With local scrap in short supply and demand strengthening, suppliers have increased offer levels, keeping sentiment firm and supporting active buying across key ports.
Pakistan: Imported shredded scrap sentiment in Pakistan remained steady, with UK/EU offers rising above $385/t CFR and UAE shredded heard around $400/t. HMS 80:20 hovered near $375/t, while GI bundles were indicated at $366-370/t. A UAE origin shredded sold at $398/t CFR Qasim.
According to a Karachi-based steelmaker, capacity utilisation improved to around 50% in select regions, though the national average remains 35-40%. Domestic scrap stayed firm at PKR 135,000-140,000/t ($483-501/t), keeping mills cautious despite improved liquidity.
Bangladesh: Imported ferrous scrap prices in Bangladesh remained largely unchanged, with offers from Malaysia/Singapore for PNS at $380/t CFR Chattogram and HMS 90:10 around $370/t, where negotiations are ongoing. Bulk offers from the United States have not surfaced yet, while a deal of Australia-origin HMS 90:10 was concluded at $360/t CFR Chattogram. Offers for Australia-origin HMS 80:20 stood at $350-355/t. Market sentiment has turned slightly positive as local scrap availability tightened, supporting steady interest at current price levels.
Turkiye: Deep-sea imported scrap market remained stable on 4 February, with direction unclear as muted deal activity and limited US/EU offers kept sentiment cautious. US sellers targeted $380-385/t CFR and EU suppliers around $375/t, but weak demand curbed buying interest. Weather-related disruptions and slow collection, especially in the Baltic at 30-40% of normal levels, supported prices, while mills resisted increases due to soft rebar demand and tight margins.
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