Steel mills in Pakistan are still interested in purchases of bulk scrap with a fresh deal for ex-US material heard in the market. Prices have declined compared to late February, when the previous contract for a bulk cargo was done.
A deal for 40,000 mt of scrap from the US West Coast was done at $297/mt CFR Pakistan recently. A number of sources have said that it was a full shredded scrap cargo, but the buyer has not confirmed the composition by the time of publication. The previous deal from the US was signed at $306/mt CFR on average in late February. “It is still difficult to get containerized scrap. Some sources refuse to load,” a Pakistan-based importer said.
Offers for ex-Netherlands shredded scrap in containers have been heard at $285-290/mt CFR Pakistan, while ex-UK offers are still at $300/mt CFR. The prices from suppliers in the Middle East have been unworkable, at above $310/mt CFR, sources have said.
At the moment, “we are feeling price pressure in the scrap market. Prices [for shredded scrap] have been at up to $315/mt CFR, but now they are stabilizing at $290/mt CFR,” a source said.
