With foreign scrap suppliers opposing lower prices to Bangladesh, Bangladeshi buyers have had no other choice but to adapt to the current developments. Specifically, following a relatively long pause in bookings, Bangladeshi steelmakers have resumed bulk scrap bookings. In particular, SteelOrbis has learned of three fresh bookings for at least 95,000 mt in total, consisting of HMS grade, shredded and bonus grade.
Accordingly, after a deal for a mixed ex-UK 30,000 mt cargo in bulk was done at the end of last week at $516/mt CFR on average, this week another 35,000 mt cargo for ex-UK scrap has been booked at $505/mt CFR on average, including 20,000 mt of HMS grade and 15,000 mt of bonus scrap. Besides, another deal for a mixed ex-US 32,000 mt cargo in bulk has been done at $513/mt CFR for HMS grade and $$518/mt CFR for shredded 211 scrap.
Meanwhile, offer prices for shredded scrap in containers in Bangladesh have been voiced at $540-550/mt CFR, the same as last week, though some traders said that it is still possible to find material at $530/mt CFR. Offers for ex-UK HMS I/II 80:20 scrap have been heard at $520-530/mt CFR, with a deal signed at $520/mt CFR at the beginning of this week. Besides, offers for ex-South America HMS I/II 90:10 scrap have been voiced at $520-525/mt CFR.
In the meantime, the 10-16 mm rebar price in Bangladesh has been relatively stable this week and is available at around BDT 85,500-87,000/mt ($956-972/mt) ex-warehouse.