Import scrap prices in Bangladesh have shown a mixed trend over the past week. Market sentiment has remained stable to firm, supported by freight pressure and supply-side constraints, though demand is still weak and buyers have remained cautious.
More specifically, offers for ex-EU/UK HMS I/II 80:20 scrap in containers have been heard at $380-385/mt CFR this week, down slightly from the $385-395/mt CFR levels heard last week. Meanwhile, offers for ex-UK/EU shredded scrap in containers have been heard at $405-410/mt CFR, up from offers at around $400-405/mt CFR reported last week. “Current local steel and scrap prices are not really helping mills justify higher import scrap prices, especially for second- and third-tier mills, which are struggling significantly. As for the market situation, traders are expected to increase selling prices,” a source in the market told SteelOrbis.
As for other origins, offers from Australia/New Zealand and Singapore have been heard at $420/mt CFR Chattogram for PNS scrap, while shredded scrap has been heard at around $408-410/mt CFR. However, no confirmation has been received at the time of writing for fresh concluded deals for these offers. Market sources have indicated that freight-related pressure has continued to support the market, with the Middle East conflict adding around $100/mt in war-related surcharges and making shipments from the UAE, Kuwait and Bahrain largely unviable. Price indications from these alternative origins have remained relatively high, keeping Bangladesh above India in the regional comparison, though still below Pakistan.
In the bulk segment, ex-Japan H2 scrap offer prices have been heard at around $390-395/mt CFR Bangladesh this week, indicating a slight increase compared to last week. At the same time, market sources have indicated that Bangladeshi buyers had been active in February, but booking activity slowed again in March after the Kanto export tender booking and especially following the outbreak of the war in the Middle East.
Meanwhile, the local Bangladesh market has remained under pressure, with rebar prices heard at BDT 90,000-95,000/mt ($734-774/mt) ex-works, mainly unchanged compared to last week, while local scrap prices have been heard at BDT 61,000-63,000/mt ($496-512/mt) ex-warehouse, up from BDT 56,000-59,000/mt ($456-481/mt) ex-warehouse reported last week. Buying activity has been heard to be driven largely by stockists rather than real end-user demand, while retail demand has remained limited.
$1 = BDT 122.97
