Import scrap activity in Pakistan has remained slow due to weak finished steel demand and low-capacity utilization rates of steel producers during Ramadan. Thus, only some customers have continued to book material cautiously, pushing for additional discounts.
More specifically, this week several deals for ex-EU shredded scrap in containers for around 1,000-2,000 mt each have been signed at $380-382/mt CFR, down by $3-5/mt over the past two weeks. Meanwhile, offers for ex-EU HMS I/II 80:20 scrap have been estimated at $360-365/mt CFR, down by $5/mt over the period under review. According to sources, suppliers from the UAE have also been offering shredded scrap at around $385/mt CFR, while bids have been reported at $380/mt CFR. “The month of Ramadan has started. The market is expected to remain slow for a few days before it picks up for post-Eid arrivals,” a market insider said.
In the meantime, local offer prices for local 10-12 mm rebar of grade 60 have increased slightly to PKR 245,000/mt ($877/mt) ex-works, versus PKR 242,000-245,000/mt ($866-877/mt) ex-works two weeks ago. However, offers for local scrap equivalent to shredded have been voiced at PKR 145,000/mt ($519/mt) ex-warehouse, down by PKR 3,000/mt ($11/mt) over the same period.
All prices on Pakistani rupee basis include 18 percent VAT.
$1 = PKR 279.51