According to Mining News Pro - In recent conversations with market participants SteelMint learned that imported scrap offers in Bangladesh have turned upward amid the impact of increased sponge export offers from Indian suppliers. Buying interest still remains slow as most of the steel mills haven’t resumed operations in full swing after EID holidays yet. But following slight upward revision in the global markets and firm Indian prices, imported scrap offers have moved up by USD 5-10/MT W-o-W.
Shredded 211 scrap in containers from UK & Europe heard to be offered at around of USD 360-365/MT, CFR Chittagong. Before moving for EID holiday’s market witnessed few deals for Shredded scrap at USD 350-355/MT levels. P&S scrap offers are being quoted mostly at around USD 365-370/MT, CFR Chittagong. While HMS 1 offers assessed at USD 360-365/MT, CFR levels from UAE and South Africa.
Indian Sponge iron export offers to Bangladesh continue to rally and hovering at USD 380/MT, CFR Chittagong in line with surge in domestic steel prices. Increasing price gap between sponge iron and imported scrap is resulting in shifting interest of Bangladesh’s buyers from sponge iron to imported scrap.
“Bangladesh imported scrap offers are moving up on firmer Indian market sentiments. However, most of the steel mills haven’t started operation at full swing as labors are still on holidays and they may return till the opening of next week. Demand will pick up amid closing of monsoon in upcoming days” shared a market participant.
Local steel prices remain almost stable; Ship plate prices move up - Local scrap prices in Bangladesh assessed at stable around BDT 34,000-35,000/MT (USD 407-419), ex-works. Domestic ship cutting plate prices heard slight upward correction on the shortage of ready plates and the assessment stands at BDT 40,500-41,000/MT for below 12 mm, at BDT 41,300-41,800/MT for (16-20 mm) and at BDT 42,500-43,000/MT for size more than 20 mm thickness.
Offers for local rebar from medium-scale producers assessed at around BDT 58,000-59,000/MT (USD 695-706) ex-works, Chittagong including 15% taxes. However, demand hasn’t improved yet.
Bangladesh ship breaking market observes timely improvement - Ship cutting prices increased by USD 5-10/MT W-o-W in Bangladesh on tightened availability of ship cutting plates in the Chittagong market. Prices assessed at USD 420/LDT for general dry bulk cargo, at USD 435/LDT for tanker cargo and at USD 445/LDT for containers on CNF Bangladesh basis. Small bulker of 2,337 LDT was fixed at USD 410/LT LDT. According to reports, all subcontinental markets are likely to observe greater aggression to acquire more volumes in Q4 of CY18. On rising ship steel plate prices in India and gearing up for cutting operation permissions in Pakistan, Bangladesh ship yards showed renewed interest at firmer levels.
