The import scrap trade in Pakistan has remained muted during the past week due to the ongoing month of Ramadan and due to the imminent tightening of restrictions. “The government has announced that the Eid holiday will last from May 9 until May 16. Hence, no activity at ports is anticipated soon, with banks to remain closed for these days,” one Pakistani trader commented with regard to the current developments.
As of now, Pakistani buyers chiefly source scrap material domestically in order to meet their immediate requirements. Despite slow trading, offer prices of import scrap have again increased this week in line with the trend in the global market.
Accordingly, this week offers of shredded 211 scrap of European origin in containers to Pakistan have been voiced at $480-485/mt CFR Qasim, with rare deals for small lots (in total, for about 5,000 mt at the most) done at $477-480/mt CFR Qasim. HMS I from the UAE has been offered at $470/mt CFR Qasim this week, versus $455-460/mt CFR Qasim a week ago, according to sources. Meanwhile, shredded scrap of Emirati origin is reported to be available at $485/mt CFR Qasim.
Meanwhile, domestic prices of scrap equivalent to shredded in the northern region of Pakistan have not changed during the past week, hovering at PKR 91,100/mt ex-warehouse. However, due to the fluctuations in the Pakistani rupee-US dollar exchange rate, the dollar-based quotations have risen by $5/mt to $593/mt ex-warehouse. Offers for domestic grade 60 rebar in the northern provinces have been voiced at PKR 132,000/mt ($859/mt) ex-works, also unchanged in the local currency and up $7/mt compared to last week.
All prices on Pakistani rupee basis include 17 percent VAT.
$1 = PKR 152.741