Following an upward trend confirmed by scrap deals to Turkey this week, the mood among exporters has started to improve in Bangladesh as well, with new offers already voiced at higher levels. Trade activity, however, has remained limited as most buyers keep voicing their bids at last week’s levels, while sellers either refuse to provide discounts or just do not want to sell big quantities due to the freight rate issue.
More specifically, in the containerized segment, most offers for ex-EU shredded scrap have been voiced at $425-430/mt CFR, while shredded offers from Australia have settled at $430-435/mt CFR, up by $10/mt week on week, though deals have been reported at $427/mt CFR. In the meantime, offers for ex-Australia HMS I/II 80:20 have been heard at around $410/mt CFR, up by $10/mt week on week, while bids have been voiced at $405/mt CFR. Meanwhile, offers for ex-Latin America HMS I/II 80:20 scrap in containers have been heard at $400/mt CFR.
“Many sellers also don’t want to risk and sell big quantities due to the hikes in freight rates which, according to sources, have increased from 88 percent to 150 percent during the past month, and especially from such destinations like Indonesia, Malaysia, Hong Kong, and Singapore,” a market insider told SteelOrbis.
Furthermore, according to sources, a few deals for ex-Hong Kong PNS scrap are reported to have been signed at $445-450/mt CFR, while offers have been voiced at above $450/mt CFR. Meanwhile, offers for ex-Australia PNS scrap have been heard at $440/mt CFR.
In the bulk segment, trade has remined silent this week, while offers for ex-US HMS I/II 80:20 have been estimated at $410/mt CFR, up by $5/mt week on week, with bids at below $405/mt CFR. Besides, offers for ex-US shredded and bonus scrap have settled at $415-420/mt CFR and $420-425/mt CFR, respectively, though buyers’ prices ideas are at least $5-10/mt lower than the offers.
Furthermore, offers for ex-Japan H2 scrap have been reported at $405/mt CFR, but, according to sources, “No one in Bangladesh will accept higher than $395-400/mt CFR right now.”