Import offers of shredded scrap in containers to Pakistan have continued to move up at a rapid pace, outracing the levels in the global market. Meanwhile, being limited in supply domestically, Pakistani buyers have continued their procurement of import material.
Accordingly, by the end of the current week, import prices of shredded 211 scrap of European origin in containers to Pakistan have reached $445-450/mt CFR Qasim, with abundant volumes already booked at this level. “I have sold several cargoes of a total of 5,000 mt at $450/mt CFR Qasim,” a Pakistan-based trader stated. “There is an acute shortage of material in Pakistan at the moment,” he added. “While the suppliers are mostly targeting $450/mt CFR Qasim, “good work” has been done at $445/mt CFR Qasim so far,” a representative of a key rebar mill in Pakistan commented. At the beginning of the current week, a few bookings of 3,500 mt in total were done at $440/mt CFR, as SteelOrbis reported earlier. Meanwhile, current shredded 211 scrap offers from the US have been voiced at $445/mt CFR Qasim, for April shipment.
According to market insiders, local rebar producers have started to increase their prices aiming to offset higher input costs. “Today, one of leading mills raised its offers for grade 60 rebar by PKR 2,000/mt, citing current market developments,” a Pakistan-based source said. Prior to that, domestic grade 60 rebar in the northern provinces was available at PKR 131,000/mt ($851/mt), ex-works. Offers of rebar of the same grade in the south have been voiced at PKR 133,000 ($864/mt), ex-works. All prices on Pakistani rupee basis include 17 percent VAT.