Bangladesh: Imported scrap offers rise but trades muted ahead of Eid

Imported scrap offers to Bangladesh have continued to rise for yet another week owing to the uptrend at the global level and high domestic demand. However, trade activities remained scant, since most of the buyers are away from the market due to the approaching Eid holidays that will continue till next week.

Bulk scrap suppliers hold back offers

"No bulk Japanese deal was reported to Vietnam and Bangladesh as Tokyo Steel sharply hiked its bids twice this week. Also, bids fetched in yesterday's Kanto tender were higher than expectations. There was less interest from the buyer's side amid the upcoming holidays," said a Japanese scrap trader.

US scrap suppliers are holding back offers at present. However, as per rough indications, bulk HMS are at $530-540/tonne (t), CFR Chittagong, quoted an official from a US scrap trading company.

Containerized scrap prices up, trades limited

Offers for containerized scrap moved up over the past week but demand is limited due to the Eid al-Fitr celebrations. Market participants believe that every year business is down around the Eid festival as there are restrictions on transportation of goods.

Fresh offers

• Fresh offers for UK/EU-origin shredded are being quoted at $510-520/t CFR Chittagong, up by $10-15/t w-o-w.
  
  
• HMS 1&2 (80:20) from UK/Europe are being quoted at $495-500/t CFR Chittagong.
  
  

Indian sponge iron export prices hit all-time high

About 12,000 t of fresh deals have been reported by eastern India-based mills at an average price of around $455/t CPT (carriage paid to) Benapole, which are equivalent to $470-475/t CFR Chittagong, Bangladesh, up $30-35/t week-on-week (w-o-w). SteelMint's benchmark sponge iron (80 FeM, 100% lumps) export price assessment hit an all-time high since the data maintained by SteelMint from Jan'17.

Major mills keep rebar offers firm Dhaka offers dip

"Domestic rebar offers remained unchanged against last week as major mills in Bangladesh are waiting for the budget declarations," source told SteelMint .

Major mills are offering rebar at BDT 70,500-71,000/t exw basis. However, few mills in Dhaka have slightly decreased their rebar offers but due to volatility in the market there are no clear directions and laborer's have also gone home for the Eid holidays. Currently, rebar offers are quoted at BDT 66,500-67,000/t exw.