South Asia: Imported ferrous scrap markets remain cautious; Turkish prices rise in fresh deals

• Turkiye's scrap market strengthens
  
  
• India's imported scrap prices stable
  
  

The South Asian ferrous scrap markets showed mixed activity. Turkiye experienced an uptick in prices, driven by strong deals, especially for US-origin HMS (80:20). In contrast, India and Pakistan saw downward pressure, with India facing cautious market sentiment right before the Budget while Pakistan's market showed a decline in EU-origin scrap prices. Bangladesh remained steady with slight improvements.

India: India's imported scrap market remained stable d-o-d, with no significant changes in prices or inquiries. The market continues to face weak demand for finished goods in the majority of regions, limiting any potential for upward momentum. Suppliers are holding their prices steady, while buyers remain cautious, leading to a flat market overall.

Currently, workable prices for open-origin HMS (80:20) are being offered at $355-360/t CFR Chennai. However, a bid-offer disparity persists with Australian shredded scrap being offered at $370-375/t, while counter bids are being placed at $360-365/t, as buyers hesitate to accept higher prices.

As per a North Indian mill source, with cheaper, readily available domestic scrap in the market and Indian mills facing liquidity pressures, purchases are being made at more conservative levels.

Recently, a deal was reported for 500 t of HMS 80:20 from the Caribbean, with a 24 t loading per container, at $355/t CFR Mundra.

Pakistan: In Pakistan, the imported ferrous scrap market has experienced slower activity, with offers for EU-origin scrap seeing a decline.

A recent deal of 2,000 t of EU-origin HMS mix was concluded at $350/t CFR Qasim.

Around 1,000 t of shredded from EU origin booked at $375/t CFR Qasim.

Suppliers are now asking for $380/t or higher, but buyers are showing interest only in prime materials from reputable suppliers. The market sentiment remains cautious as buyers focus on securing quality materials at competitive prices.

Bangladesh: The Bangladeshi imported scrap market has seen a slight uptick, as mills have started to evaluate offers more actively. However, prices have remained mostly unchanged d-o-d. Mills continue their inquiries for some cheaper materials, especially from near-shore regions, in preparation for the pre-Ramadan period.

Turkiye: Turkish imports of HMS (80:20) saw an increase d-o-d. Several deals were reported, strengthening the sell-side sentiment followed by a recent deal from the US that was reported for HMS (80:20) at $349/t, with Shredded & PNS priced at $369/t.

Indicative tradable values for US/Baltic-origin HMS (80:20) were between $340-345/t CFR, with a Baltic-origin deal booked at $342.50/t CFR and a US-origin deal booked for the same price. A UK-origin deal was also concluded at $340/t CFR.

The series of transactions pushed sell-side sentiment further, with prices for US/Baltic-origin HMS (80:20) reaching $350-360/t CFR, and $340-345/mt CFR for EU-origin material.

Price assessments

India: UK-origin shredded indicatives were assessed at $372/t CFR Nhava Sheva, down by $1/t compared to the previous day.

Pakistan: UK-origin shredded indicatives were at $383/t CFR Qasim, up slightly by $1/t d-o-d.

Bangladesh: UK-origin shredded was assessed at $382/t CFR Chattogram, down by $1/t/t d-o-d.

Turkiye: US-origin HMS (80:20) bulk scrap edged up by $5/t to $348/t CFR Turkiye compared to the previous day.