Import scrap activity in Pakistan has remained slow due to weak finished steel demand and the low capacity utilization rates of local steel producers during Ramadan, Thus, only some customers have continued to book material cautiously, pushing for additional discounts.
More specifically, following several deals for ex-US shredded scrap in containers at $405/mt CFR, this week at least 1,000-1,500 mt are reported to have been booked at $402/mt CFR, according to sources. Meanwhile, a few deals for ex-EU/UK shredded scrap have been heard at $410/mt CFR, down by $5/mt CFR, while most offers have settled at $410-415/mt CFR, versus $415/mt CFR last week.
In the meantime, offers for local scrap equivalent to shredded have been voiced at PKR 160,000/mt ($575/mt) ex-warehouse, the same as last week, while the tradable prices for local 10-12 mm rebar of grade 60 have been reported at PKR 255,000-260,000/mt ($916-934/mt) ex-works, down by PKR 3,000-5,000/mt ($11-18/mt) week on week.
“Customers are less hopeful about any changes in activity in Ramadan, though most expect better trade activity post-Ramadan,” a market insider said.
All prices on Pakistani based rupee include 18 percent VAT.
$1 = PKR 278.32