Pakistan: Imported Scrap Prices Move Up in Recent Deals

Imported scrap offers hiked further by USD 5-10/MT on W-o-W in the recent trades concluded in Pakistan. Shredded scrap in containers sold at the level of USD 390/MT from UK amid falling scrap inventories.

Pakistan scrap importers remained active with strong demand again in this week. As per latest conversations with market participants SteelMint learned that, Pakistan scrap importers concluded few thin trades at further rising prices recently. Shredded 211 booked in containers from Europe and USA at various prices in the range of USD 378-384/MT, CFR Qasim while another trade deal from UK heard at USD 390/MT, CFR Qasim level.

Offers for HMS 1 from USA and Australia assessed at USD 365/MT, CFR Qasim. While offers for HMS (80:20) from South Africa stood at USD 370/MT Qasim to Pakistan.

Thus, price assessment for Shredded as well as HMS scrap now increased by USD 5-10/MT than last week's assessment.

"Demand for imported scrap remained strong again in this week as most of the supplying scrap yards are reopening now after holidays. Falling scrap inventories in Pakistan caused steelmakers to resume scrap bookings actively despite rising offers." - shared a trader based in Pakistan

Recently major steel mills in Pakistan raised domestic rebar prices above PKR 90,000/MT, ex-mills, however, buyers are resisting purchases at these levels as of now. Also, the effect of currency depreciation remained almost stagnant since last few weeks' as the currency stood around 1 USD = PKR 110 stable from last few weeks in Pakistan.

Ship breaking prices improved further in Pakistan with a single sale reported at Gadani last week. Prices for ship breaking now stood at USD 430/LDT for dry bulk cargo and USD 450/LDT, CFR for containers.