Bangladesh’s import scrap market has remained muted this week, with sentiment turning more negative as mills have mostly withdrawn from fresh negotiations after securing sufficient volumes in April.
More specifically, ex-EU/UK HMS I/II 80:20 scrap in containers has been offered at $385-395/mt CFR Bangladesh this week, compared to $390-395/mt CFR heard last week, while ex-EU/UK shredded scrap in containers has been offered at $415-420/mt CFR, unchanged from last week’s level. According to a market source, a UK-origin shredded 211 seller was unable to match Bangladeshi buyers’ price expectations, while another source stated that UK and European suppliers are “not competitive” at present.
As for ex-Australia material, 1,000 mt of shredded 211 scrap have been sold at $412/mt CFR Bangladesh late last week, compared to offers at $418-419/mt CFR heard last week. According to the source, the deal was concluded after negotiations, while UK-origin shredded material could not be secured at the same workable level. No confirmation has been received of further fresh Australian deals by the time of publication.
In terms of other origins, Hong Kong-origin PNS scrap bids have been heard at around $420-425/mt CFR Bangladesh this week, compared to offers at $440/mt CFR and bids below offer levels reported last week. However, sources have stated that firm offers are limited, partly due to higher freight costs. Meanwhile, traders have indicated that Bangladesh is currently receiving material from Singapore, Malaysia and the Philippines, though details of fresh confirmed deals from these countries have remained limited. Market sources have also stated that buyers are focusing mainly on nearby origins and short-transit cargoes, while overall import activity has remained selective.
Meanwhile, the local Bangladeshi market has remained under pressure from weak finished steel demand, mills’ cautious sentiments, and tight liquidity conditions. Local rebar prices have been heard at BDT 77,000-92,000/mt ($627-749/mt) ex-works, varying depending on brand value.
$1 = BDT 122.75