Trade activity in the import scrap market in Bangladesh has continued to lack strength amid continued issues with opening letters of credit (LCs) and buyers’ expectations of further declines. Apart from small containerized bookings at lower levels, no fresh deals have been reported for scrap in bulk so far.
The latest small-tonnage deal for containerized HMS I/II 80:20 scrap from Australia has been reported in Bangladesh at $406/mt CFR, versus last week’s offers at around $415/mt CFR. Besides, offers for ex-Australia HMS I/II 90:10 and busheling scrap have been voiced at $415/mt CFR and $442/mt CFR, according to sources. Meanwhile, offers for ex-UK shredded scrap in containers have been reported at $425-430/mt CFR, down by $5-10/mt over the past week.
In the meantime, no new deals have been reported in the bulk segment in Bangladesh this week, with sellers from the US mainly offering HMS I/II 80:20 scrap at $410-420/mt CFR, the same as last week, while customers’ price ideas for ex-US materials have been at $400/mt CFR, though, sources said, “even at $400/mt CFR there are no buyers as the local market and the LC situation is worsening. In fact, we need to wait for situation to improve to resume purchases.”