The import scrap trade in Pakistan has been muted during the past week due to the National holiday held on March 23. Moreover, considerable uncertainties remain as regards the future trend of global prices. Most Pakistani buyers have continued to delay new bookings, expecting import offer prices to soften further. “We are not buying at this point in time, but are waiting for prices to go down further, to around $400/mt CFR. Then, we will likely start procurement,” a representative of a longs mill in Pakistan stated.
However, this week import prices of shredded 211 scrap of European origin in containers to Pakistan have been voiced at the same level as in the previous week, largely at $425-435/mt CFR Qasim. Meanwhile, HMS offers from the UAE have been heard at $420-430/mt CFR Qasim. “Some ready shipments for early arrivals (distressed cargoes) are still available as there is plenty of material on the high seas,” the representative of another rebar mill commented with regard to the current situation.
Meanwhile, local prices of scrap equivalent to shredded in the north of Pakistan have been hovering in the range of PKR 88,000-88,500/mt ($569-572/mt) ex-warehouse by the end of the current week, increasing from PKR86,000-86,500/mt ($553-557/mt) ex-warehouse a week ago. Domestic grade 60 rebar prices have declined to PKR 130,000/mt ($840/mt) ex-works in the north, with some producers ready to book at PKR 129,000/mt ($834/mt) ex-works. All prices on Pakistani rupee basis include 17 percent VAT.
$1 = PKR 154.673