South Asia: Imported ferrous scrap prices steady even as buyers eye Budget and Ramadan impact

• Turkish scrap prices rise slightly
  
  
• Bangladeshi mills secure scrap ahead of Ramadan
  
  

The South Asian ferrous scrap markets showed largely stable price trends. Prices were generally steady, with minor fluctuations of plus or minus $1-2/t. India's market remained quiet with cautious buying sentiment. Pakistan saw slower activity but it is expected to pick up, while Bangladesh showed slight improvement. Turkish prices rose, driven by stronger seller targets despite sluggish finished steel sales.

India: India's imported scrap market remained quiet d-o-d, with limited transactions as buyers stayed cautious. An offer for shredded scrap was received at $365, but counter bids were placed at $360.

A market participant mentioned that they haven't made any purchases recently due to existing inventory, but they have expectations that the upcoming Budget's focus on infrastructure could support the rebar market. Payment terms are predominantly CAD, with very few deals on an LC basis.

Recently, a deal was made for 10 containers of Central America HMS 80:20 at $355/t, with a 25t loading per container.

Pakistan: In Pakistan, the imported ferrous scrap market has experienced slower activity, with offers for EU-origin shredded scrap currently at $381-382/t CFR. However, the market is expected to pick up pace by mid-February, as mills look to secure material ahead of Ramadan, ensuring that imported scrap arrives during the holiday period.

Bangladesh: The Bangladeshi imported scrap market has shown slight improvement, with mills beginning to evaluate offers more actively, although prices remain largely stable d-o-d. Mills are securing cargo ahead of the pre-Ramadan period.

As per a Chattogram based mill source, the market is showing signs of improvement compared to December, with their mills now operating at full utilisation of their 2.4 mnt capacity. Previously, high inventories had led to a slowdown in purchasing, but mills have resumed buying.

• 500 t Heavy PNS Fabrication Scrap (Dubai Origin)-$395/t CFR Chattogram
  
  
• 1,000 t Heavy H Beams (Hong Kong Origin)-$415/t CFR Chattogram
  
  
• 1,000 t PNS oversize material (Hong Kong Origin)-$390/t CFR Chattogram
  
  

Turkiye: Turkish deepsea import ferrous scrap prices rose d-o-d, driven by stronger seller targets and expectations of robust US domestic buying in February. Offers for US/Baltic-origin HMS (80:20) were reported at $340-345/t CFR, with some sellers targeting $350-360/mt CFR.

Despite a firm US market, Turkish mills remained cautious due to sluggish finished steel sales. However, Turkish scrap prices saw an increase in recent deals, with prices rising to $340-342.5/t CFR for the Aegean region, up from previous levels of $331-337/t.

A US recycler noted that "there was a scarcity of HMS in the domestic market. Another market participant stated, "Turkish scrap prices may need to rise further to compete with the US market."

An EU-based recycler mentioned, "It's evident that seller offers have gone up, and mills realise that to finalise a deal this week, they will have to accept higher prices."

Price assessments

India: UK-origin shredded indicatives were assessed at $373/t CFR Nhava Sheva, down by $2/t compared to the previous day.

Pakistan: UK-origin shredded indicatives were at $382/t CFR Qasim, up slightly by $1/t d-o-d.

Bangladesh: UK-origin shredded was assessed at $383/t CFR Chattogram, stable/t d-o-d.

Turkiye: US-origin HMS (80:20) bulk scrap edged down by $1/t to $343/t CFR Turkiye compared to the previous day.