This week, import scrap prices in Pakistan have mostly been moving sideways, while some occasional deals have even shown a slight downward bias, according to sources. At the same time, the current market has remained quite depressed, with sluggish steel sales, while many have been selling off stocks at lower prices to maintain cash flow.
More specifically, offers for ex-UK and ex-EU shredded scrap in containers have been voiced at $405-415/mt CFR, mainly the same as last week, though, according to sources, despite slow trade a number of deals for around 4,000 mt in total have been signed at $400-410/mt CFR.
Besides, offers for ex-UAE HMS grade scrap have been voiced at $385/mt CFR, versus $385-390/mt CFR last week.
Most market insiders expect weak trade flows from international markets in the short run, although a potential uptick in domestic demand may encourage steel mills to purchase more local scrap. “Overall, the global sentiment has weakened following a significant price increase, which will likely affect future offers for imported scrap in Pakistan in the near term,” a market insider said.
In the local market, local tradable prices for 10-12 mm rebar of grade 60 have been voiced at PKR 245,000 ($882/mt) ex-works, mainly the same as last week, while offers for local scrap equivalent to shredded have been voiced at PKR 138,000/mt ($497/mt) ex-warehouse against PKR 145,000 ($522/mt) ex-warehouse.
All prices on Pakistani rupee basis include 18 percent VAT.
$1 = PKR 277.70
