Bangladesh's import scrap market has remained under pressure, with demand dampened by monsoon-related disruptions, weak construction activity, and cautious buying by mills. Import scrap prices have edged down over the past two weeks, reflecting limited buying interest. According to sources, a meaningful recovery is expected only if post-monsoon infrastructure projects ramp up and the currency volatility subsides.
According to sources, most offers for shredded scrap in containers from Australia have been voiced at $370/mt CFR, compared to $370-375/mt CFR two weeks ago. Besides, offers for ex-Australia HMS I/II 80:20 scrap have been heard at $350/mt CFR, down by $5/mt over the past two weeks, with a few deals reported to have been signed at $340-350/mt CFR levels. Furthermore, offers for ex-Malaysia shredded scrap have been voiced at $375/mt CFR, while offers for ex-Malaysia HMS I/II 80:20 have settled at $360/mt CFR.
Furthermore, offers for ex-Singapore PNS scrap in containers have been voiced at $380/mt CFR, while offers for PNS scrap from Hong Kong have settled at $385/mt CFR level.
In the bulk segment, Japan’s Kanto scrap export tender was closed with Bangladeshi mill with another price decrease on July 9 on Japanese yen basis, though the dollar-based price moved down sharply. More specifically, in the Kanto export tender, the highest bid was at JPY 41,716/mt FAS, JPY 551/mt lower than last month. The total tonnage of the cargo was 15,000 mt. The dollar-based price decreased from $294/mt to $284/mt FAS, given the changes in the Japanese yen-US dollar exchange rate. The FAS price translates to JPY 42,716/mt FOB or $291/mt FOB, and translates to around $345/mt CFR Chattogram, in line with ex-Japan H2 offers at $345-348/mt CFR levels.
Meanwhile, offers for ex-US HMS I/II 80:20 scrap have been estimated at around $340-345/mt CFR, mainly the same as two weeks ago.