South Asia: Imported ferrous scrap offers remain largely stable; Turkish market sees uptick

• Indian, Bangladeshi markets remain cautious
  
  
• Pakistan sees slow demand, few bookings
  
  

The South Asian ferrous scrap market remained largely stable d-o-d. In India, demand for imported scrap remained moderate, with buyers cautiously awaiting clearer price trends amid rising offers. Meanwhile, Pakistan's market was notably slow, characterised by limited demand and few bookings, while Bangladesh faced additional hurdles due to flooding and an economic slowdown. In contrast, Turkiye's imported scrap market demonstrated resilience, with rising prices fuelled by recent bookings and expectations of sustained demand.

Overview

Caution prevails despite moderate demand in India: In India, demand for imported scrap remained moderate today, with buyers adopting a wait-and-watch approach, as they awaited clearer price trends and exercised caution due to a sudden uptick in offers. Offers for shredded scrap from the US and UK/Europe were assessed at $400-405/t CFR Nhava Sheva, while HMS (80:20) was at $380-385/t CFR.

Momentum remains slack in Pakistan: Pakistan's imported scrap market was notably slow, with minimal bookings and limited demand. Offers for shredded scrap from the UK/Europe stood at $405-410/t CFR Qasim. Local scrap prices were assessed at PKR 140,000-145,000/t, while grade 60 rebars were priced at PKR 245,000-250,000/t.

Bangladeshi buyers delay purchases: Bangladesh's imported scrap market remained cautious today, with buyers delaying purchases due to a combination of monsoon flooding, slow economy, and halted projects. Offers for shredded scrap from Australia/New Zealand stood at $415-420/t CFR Chattogram, HMS (80:20) at $390-395/t CFR, and PNS from Singapore at $435/t CFR.

With steel production at around 60% of normal capacity due to low sales and ample inventory, buyers plan to hold off on trades until next month.

Domestic rebar prices varied, with offers at BDT 86,000/t in Chattogram and BDT 78,000-82,000/t in Dhaka, while local scrap was at BDT 52,000/t.

Imported scrap offers to Turkiye edge up: The Turkish imported scrap market remained strong, with deep-sea prices rising due to recent multi-origin bookings. Turkish HMS (80:20) imports from the US were assessed at $386/t CFR, up $1/t from the previous day. European recyclers expect the current trade momentum to continue if Turkish rebar demand holds and Chinese billet prices stay elevated.

Notable deals included a US supplier selling bulk scrap cargo to a West Marmara mill, with HMS (80:20) at $386/t, shredded at $406/t, and bonus at $406/t CFR. Meanwhile, a UK supplier sold HMS (80:20) and bonus to an East Marmara mill at $378/t and $403/t CFR, respectively.

Price assessments

India: UK-origin shredded scrap indicatives inched up by $1/t d-o-d to $405/t CFR Nhava Sheva.

Pakistan: UK-origin shredded indicatives edged up by $1/t to $406/t CFR Qasim compared to the previous day.

Bangladesh: UK-origin shredded prices remained unchanged d-o-d at $407/t CFR Chattogram.

Turkiye: US-origin HMS (80:20) bulk prices were up by $1/t d-o-d to $386/t CFR Turkiye.