- India: Sufficient stocks and Diwali slowed import buying
- Bangladesh: Higher freight and wide bid-offer gaps constrained trades
South Asian scrap markets remained subdued in the week ended 12 October, with cautious buying and wide bid-offer gaps across India, Pakistan and Bangladesh. Turkiye’s prices held steady, while Japan’s stronger Kanto tender supported regional sentiment amid elevated freight costs in Bangladesh.
India: India’s imported scrap market remained subdued, with HMS 80:20 offers from Africa, Yemen and Mozambique at $360-375/t CFR. Buyers resisted prices above $375/t amid sufficient stocks, while 25 t was loaded at $362-365/t CFR Mundra. UK-origin HMS 80:20 was bid at $355-360/t CFR Mundra against offers around $370/t.
In Chennai based participant commented, imported HMS was available at $370-375/t, while turnings were booked at $340/t and a Malaysia-origin turnings at $345/t CFR Chennai. Machine-processed scrap remained a cheaper alternative, while high prices limited interest in Australian shredded scrap. Buying activity is expected to remain slow over the coming weeks, with Diwali likely to keep the market subdued for around a month.
Pakistan: Imported scrap market remained subdued, with UK-origin shredded offers at around $413/t CFR Qasim. A recent deal was reported at $415/t CFR Qasim, while no trades were concluded at the $413/t offer level.
Bangladesh: Imported scrap market remained subdued, with high freight rates preventing trades from Far East suppliers. Japan’s October Kanto tender rose JPY 3,964/t to JPY 52,077/t FAS ($329/t), marking the first increase after four consecutive monthly declines, with the cargo awarded to Bangladesh. Australia/New Zealand HMS-PNS mix offers stood at $390-400/t CFR Chattogram against bids of $380-385/t. Singapore PNS was offered at up to $430/t, while Malaysian PNS stood at $424-425/t and shredded scrap at around $420/t CFR Bangladesh. Wide bid-offer gaps continued to limit buying interest.
Turkiye: Deep-sea scrap prices remained stable d-o-d on 12 Oct, with high grade US HMS 80:20 at $404/t CFR. Tradable values for US-origin material were reported around $398-400/t CFR, while EU-origin scrap was indicated at $390-395/t CFR.
Mills continued pushing for EU-origin HMS 80:20 below $390/t CFR, but rising freight costs limited scope for discounts. Some sellers expected high freight costs and limited billet imports to support prices, while others anticipated greater pressure on Turkish mills next week due to limited alternatives.
Leave a Reply