Mining News Pro - SteelMint learned in recent conversation with market participants that imported scrap market in Pakistan has turned quiet amid softening local steel prices.
  Zoom:

According to Mining News Pro -SteelMint learned in recent conversation with market participants that imported scrap market in Pakistan has turned quiet amid softening local steel prices. Imported scrap offers remained stable as sellers remain optimistic on steady global outlook however local steel sales remained less supportive at the moment.

Containerized Shredded 211 from Europe and UK suppliers remain in the range of USD 358-361/MT, CFR Qasim. Currently, UK and Europe based sellers are more active in absence of US suppliers. USA suppliers remain offering more volumes to Turkey and South-east Asian markets where they can fetch more prices.

HMS 1 scrap from Dubai is being offered in the range of USD 335-345/MT, CFR Qasim. However, South African HMS assessment remains still at around USD 347-350/MT, CFR Qasim.

Rise in electricity rates and liquidity issues are expected to impact the costing further. Few steelmakers might even stop their production for time being if consumption will remain low or customers won’t accept materials at higher prices in upcoming days.” shared a source.

Local steel price assessment as on 30th Oct’18 -

Average Prices, Ex-work Punjab and Lahore,inclusive of taxes

Particular

30th Oct`18

Last assessment on 23rd Oct`18

W-o-W Change

PKR/MT

USD/MT

PKR/MT

PKR

Local Kainchi Scrap (Equivalent to Shredded)

60,000

451

61,500

-1500

Bala (Local Billet)

78,000

586

81,000

-3000

CC Billet (Grade 40)

83,000

623

86,500

-3500

CC Billet (Grade 60)

84,000

631

88,000

-4000

Deformed bar (G-60)

101,000

752

100,000-101,000

0

Source: SteelMint Research, USD/PKR = 133.1

Local billet prices move down PKR 3000-3500/MT W-o-W - According to sources, Punjab Environment Protection Department (PEPD) sealed total 216 industrial units which were not following environment friendly measures including furnaces, re-heating furnaces, rolling mills, brick Kilns contributing to air pollution and about 86 FIRs registered.

In tax free zones like FATA, PATA and Dargai Bala Billet, CC billet and steel bars are available in low prices as compared with Islamabad, Karachi and Lahore markets with un-documented process.

Market participants are expecting for decrease in the rate USD against PKR after receiving financial support of USD 6 Billion from Saudi Arabia and expecting more from China and UAE in addition with IMF.

Rebar prices edge down amid subdued movement - In Punjab, Deformed rebar assessed at around PKR 101,000-102,000/MT and commercial rebar at PKR 94,000-95,000/MT, ex-works. In Sindh region, Deformed rebar assessed in the range of PKR 103,000-104,500/MT, ex-works. All these prices are inclusive of taxes.Domestic scrap prices equivalent to Shredded reported softening while HMS availability remained tight.

Major steelmakers in Karachi observe rebar prices little higher side than other regions of the country. Deformed premium G-60 rebar prices heard in the range of PKR 104,000-107,000/MT, while commercial rebar assessed at PKR 97,000-98,000/MT, ex-works in Karachi inclusive of taxes.

Ship breaking market stagnant with no sale reported - Gadani based recyclers remain stranded behind their competitors in terms of prices with no new sale reported last week. Overall unwillingness persists after an accident reported on a tanker. Ship breaking prices have been reported at USD 430/LT for dry bulk cargo, at USD 450/LT for containers and USD 440/LT for Tankers with unstable sentiments.

 


Share the news

In Picture