Pakistan’s imported scrap prices have moved up further week on week supported by restocking needs and supply-side constraints, though trading activity has been slowing down ahead of the Eid holiday.
Offers for ex-EU/UK shredded scrap are currently reported at $410-415/mt CFR, compared to $405-410/mt CFR heard last week, while bids from Pakistani buyers are mostly at $400-405/mt CFR. Negotiable levels are reported at around $405/mt CFR, depending on cargo size and payment terms, resulting in a current workable price range of $405-412/mt CFR for shredded scrap, depending on quality and shipment conditions. However, trading activity has remained muted ahead of the Eid holiday, although demand for prompt shipments has increased amid supply chain disruptions.
More specifically, ex-UK shredded scrap has been sold at $405-408/mt CFR Qasim, up from around $400-405/mt CFR Qasim heard last week, with individual deals reported at $405/mt and $408/mt CFR Qasim. In addition, at the beginning of the week, a 2,500 mt cargo of ex-Baltic shredded scrap was sold at $400-402/mt CFR Qasim.
In the Pakistani domestic market, local scrap equivalent to shredded is reported at around PKR 146,000/mt ($522/mt) ex-warehouse, unchanged week on week. Meanwhile, offers for grade 60 rebar are heard at PKR 245,000/mt ($876/mt) ex-works, also stable compared to the previous week. Market activity has slowed slightly ahead of the Eid holiday, while overall conditions remain largely unchanged. Restocking has increased amid worsening supply chain disruptions, whereas sentiment in the commercial sector has softened somewhat. Market sources indicate that the coming 45 days will be critical for supply chain management, although no major shifts in the overall market are currently expected.
All prices on Pakistani rupee basis include 18 percent VAT.
$1 = PKR 279.23