Inquiries for import scrap from customers in Pakistan have been increasing over the past week, amid assessments of the situation regarding Russia's attack on Ukraine and increasing interest in scrap at higher prices from Turkey, while finished steel sales and overall demand in Pakistan has not improved to provide support for scrap price rises.
Most offers for shredded 211 scrap in containers to Pakistan have dried up as sellers are waiting for more increases in the coming week. But some suppliers have been asking for $565-570/mt CFR for shredded, up by $10/mt over the past week. Limited quantities have been booked by customers at up to $565/mt CFR, which is up by $5/mt from a week ago.
To sell more quantities, sellers are now asking for firm bids at not less than $570/mt CRR and they expect that the uptrend will continue. Traders have stated that most scrap yards are not willing to offer as yet in anticipation of higher prices in the near future.
Pakistan customers are also facing a serious slowdown of supply of Middle Eastern origin scrap as hardly any offers are available from this destination, given that India is paying “good prices and sellers don’t wish to offer in Pakistan and prefer to keep sales in India,” one source told SteelOrbis. Offers for ex-UAE HMS are at $545/mt CFR Pakistan this week, $5-10/mt higher than last week.