Foreign scrap suppliers have continued to decrease their prices to Pakistan, while most Pakistani buyers have continued to maintain a wait-and-see stance. Most regional customers are delaying new bookings as the business environment in the finished steel segment has remained unfavorable during Ramadan. Thus, scrap trading in Pakistan has remained muted this week.
Specifically, offers for shredded 211 scrap of UK and European origin in containers to Pakistan have been heard at $610-620/mt CFR, down by $30-35/mt over the past week. “We also received an offer at $608/mt CFR, but there are no deals at this level, as most businesses are on pause amid holidays,” a Pakistan-based trader told SteelOrbis. Meanwhile, ex-US shredded scrap is said to be available at around $615/mt CFR, down by $27/mt week on week, and, according to market insiders, a deal for around 3,000 mt of ex-US material has been signed at $615/mt CFR this week. At the same time, offers for ex-UAE HMS I scrap have been voiced at $585/mt CFR, compared to $600/mt CFR last week.
Prices for 10-12 mm rebar of grade 60 in Pakistan have mostly remained unchanged at PKR 210,000/mt ($1,226/mt) ex-works. However, tradable prices have been reported at lower levels, PKR 200,000-205,000/mt ($1,073-1,099/mt) ex-works. “Government-funded projects are on hold due to funding issues. Besides, construction is mainly affected by the limited working hours and unavailability of workers during Ramadan,” a market insider stated.
$1 = PKR 186.46