- Bangladesh sluggish on weak demand, liquidity crunch
- Turkish market remains steady amid firm seller sentiment
South Asia’s imported scrap market showed mixed signals today. India stayed stable amid buyer resistance, while Pakistan saw a slight uptick in shredded scrap prices despite weak demand. Bangladesh remained sluggish due to seasonal slowdown and liquidity issues. Turkiye held firm as mills accepted higher prices on improved finished steel demand.
Overview
India: The imported scrap market remained stable as buyers pushed back against higher offers, citing subdued steel demand and ample availability of alternatives like sponge iron and pellets.
Shredded scrap was heard at $370-375/t CFR, though some buyers showed interest at around $365/t. Offers for UK- and German-origin busheling were reported at $375/t CFR for June shipments. Yard prices stayed firm, while freight rates from the UK to Mundra ranged between $1,320/t and $1,350 per 20-foot container.
Market sentiment was cautious and prices moved sideways, with no immediate upside expected.
Pakistan: The imported scrap market faced continued pressure amid elevated freight rates and weak local steel demand. Offers for shredded scrap from UK and European suppliers were reported in the range of $380-388/t CFR Port Qasim, but buyer interest remained limited, with bids mostly around $380-383/t. As a result, trading activity stayed subdued.
Bangladesh: Bangladesh’s imported scrap market remained sluggish amid weak steel demand, tight liquidity, and seasonal slowdown due to approaching monsoon and Eid holidays. Mills stayed cautious, prioritising inventory management over new bookings as LC challenges persisted, especially for smaller players.
Australian HMS 80:20 was booked at $355/t CFR, shredded at $380-385/t CFR, and Japanese H2 bulk at $360/t CFR. US bulk HMS stood at $373/t, while Hong Kong-origin PNS was offered at $390-395/t amid record-high freight rates of $1,700/t. Deep-sea trades remained limited.
Domestic sentiment was soft with scrap prices at BDT 53,000-55,000/t ($435-452/t). Rebar traded at BDT 80,000-82,000/t ($657-674/t) in Dhaka and BDT 84,000-86,000/t ($690-707/t) in Chattogram. Market activity is expected to slow further.
Turkiye: The Turkish imported scrap market held steady, with bulk HMS 80:20 prices largely unchanged at $347/t CFR, as firm seller sentiment met limited restocking appetite. While US-origin offers remained strong above $350/t CFR, most confirmed trades hovered around $346-347/t CFR for Baltic and EU-origin cargoes. UK and Netherlands-based sales were heard at lower levels around $338-342/t CFR.
Despite calm market activity, Turkish mills continued to accept firm prices amid improved finished steel demand. Rising HMS collection costs in Europe and a stronger euro also hinted at potential upward pressure ahead, though immediate buying remained cautious.
Price assessments
India: UK-origin shredded indicatives were assessed at $367/t CFR Nhava Sheva, unchanged d-o-d.
Pakistan: UK-origin shredded indicatives stood at $385/t CFR Qasim, up by $2/t d-o-d.
Bangladesh: UK-origin shredded prices were assessed at $377/t CFR Chattogram, unchanged d-o-d.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $347/t CFR Turkiye, unchanged d-o-d.
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