Bangladesh Observes Average Trades for Imported Scrap

SteelMint learned from industry participants that containerized imported scrap trades in Bangladesh have remained average at almost flat prices for yet another week

Participants pointed out that the traditional season of weaker activity on monsoon is just around the corner which keeps sentiments down and average bookings are being reported for pre-monsoon restocking in the domestic finish steel market. As per updates, the country’s budget is likely to be presented on 1st week of June.

SteelMint’s price assessment for containerized Shredded scrap stands in the range of USD 345-350/MT, CFR Chittagong, which is rangebound against the last week’s report. Buying interest stands mostly in the range of USD 340-342/MT, CFR. However, few scrap yards based in Canada and UK continue were quoting Shredded in the range of USD 350/MT, CFR at the moment.

Containerized HMS 1 from Chile and Brazil is being quoted in the stable range of USD 337-340/MT, CFR against last week. Price assessment of HMS 1&2 from other origins like Brazil, West Africa and Europe stand at around USD 325-330/MT, CFR Chittagong.

Domestic scrap prices fall on W-o-W basis - Shipyard scrap selling prices in Bangladesh fell BDT 1,000/MT (USD 12) on W-o-W and assessed at around BDT 36,500/MT (USD 433), ex-Chittagong basis. While local melting scrap prices are being reported at around BDT 36,000/MT, ex-works inclusive of taxes.

Ship plate prices in Chittagong’s market have increased marginally by around BDT 200-300/MT on a weekly basis. Ship plates of 16 mm were traded at around BDT 44,000/MT (USD 522), ex-works Chittagong, for 12 mm plate at BDT 43,000/MT and 20 mm plate price increased to around BDT 44,500/MT inclusive of local taxes.

Reports shared that there is a possibility of hike in tariffs on local steel plates post-budget in Bangladesh keeping recyclers hesitant however buyers may continue importing vessels before the imposition of these new taxes.