Prices for import scrap in Bangladesh have posted sharp drops over the past week both in the bulk and containerized segments. As demand has been slowing down, impacted by the approaching monsoon season and sharp currency depreciation, prices may fall further in the near future, market sources told SteelOrbis.
Deal prices for ex-UK shredded scrap in containers in Bangladesh have been heard at $540/mt CFR this week, while offers have been settled at $540-550/mt CFR. This means that prices have lost about $50-60/mt compared to offers heard last week. Meanwhile, offers for ex-UK HMS I/II 80:20 scrap have been voiced at $525/mt CFR, down by $35/mt week on week.
Meanwhile, indicative offers for ex-US HMS grade scrap in bulk have been voiced at around $530/mt CFR, down by $10-20/mt week on week, though with limited offers available. “Bangladeshi buyers will not agree to pay more than $500/mt CFR,” a local trader told SteelOrbis.
“There are not so many import offers now, and Bangladeshi customers are not keen to book due to depreciation and poor demand in the steel market. Also, people are anticipating a crush in steel prices,” another trader stated.