While import prices for shredded scrap in containers have gained around $7-10/mt over the past two weeks, import scrap activity in Pakistan has remained muted due to slow demand and the low-capacity utilization rates of local steel producers during Ramadan and due to the approaching Eid holiday. Thus, only some customers have continued to book material cautiously, while most importers have been holding back.
More specifically, after around 5,000 mt in total of shredded scrap ex-EU/UK in containers were bought at $385-387/mt CFR during the past week, new offers for shredded scrap have increased to $390-393/mt CFR this week, against $380-385/mt CFR two weeks ago. “The Eid holiday is from March 31, and so there will be no business activities for two or three days before and after the Eid holiday,” a market insider told SteelOrbis, adding, “Some contractors will hurry to finish projects before labourers take their holiday, so demand should pick up to some extent.”
Meanwhile, local prices of scrap equivalent to shredded in Pakistan have increased slightly to PKR 140,000-143,000/mt ($500-511/mt) ex-warehouse, down by PKR 2,000-5,000/mt ($7-18/mt) over the past two weeks. Furthermore, the tradable level for local 10-12mm rebar of grade 60 has been heard at PKR 240,000/mt ($858/mt) ex-works, down by PKR 2,000-5,000/mt ($7-18/mt) since early March.
All prices on Pakistani rupee basis include 18 percent VAT.
$1 = PKR 279.76