Business activity has revived in the import scrap market in Bangladesh this week given that import prices have moved down slightly coupled with improved letter of credit (LC) approvals by banks, while overall finished steel demand has as expected increased after the January elections.
More specifically, several deals for around 3,000 mt of Australian origin shredded scrap in containers have been signed at $431-435/mt CFR, while most offers have been voiced at $435-440/mt CFR, down by $5/mt week on week. Besides, at least 7,000-8,000 mt of ex-Australia HMS I/II 80:20 scrap in containers have been booked at $415-418/mt CFR, with most offers still voiced at $420/mt CFR. Meanwhile, offers for ex-Australia PNS scrap have settled at $445/mt CFR, while buyers’ bids have been heard at $435-440/mt CFR. Furthermore, according to market insiders, another deal for ex-Middle East mixed scrap, including HMS and PNS scrap, has been signed at $440/mt CFR Chattogram (Chittagoing).
In the meantime, some revival in trade activity has also been reported in the bulk segment, with at least two deals for ex-US and ex-Australia scrap signed over the past week. In particular, a deal for around 32,000 mt in total of ex-US scrap has been reported at $415/mt CFR for HMS grade and at $425/mt CFR for shredded scrap. Besides, another deal for ex-Australia HMS and bonus scrap is reported to have been signed at $424/mt CFR and $434/mt CFR, respectively. Meanwhile, offers for ex-US scrap in bulk have been estimated at $425/mt CFR for HMS grade and at $430/mt CFR for shredded scrap, down by $5/mt over the past week.