While offers for import scrap have been showing a slight downward bias, the import scrap market in Pakistan has been displaying a reserved approach to buying, largely influenced by sluggish rebar demand and the persistent smoggy weather conditions. Besides, to address ongoing liquidity pressures, rebar suppliers have been offering discounts in response to continuing liquidity difficulties.
More specifically, offers for ex-UK/EU shredded scrap in containers have been voiced at $395/mt CFR, down by $5/mt week on week. Meanwhile, most buyers’ bids have declined to $385-388/mt CFR, versus $388-390/mt CFR a few days ago and down by $5/mt week on week. According to sources, deals have been occasional, with around 2,000-3,000 mt reported to have been bought at $393/mt CFR at the end of last week.
At the same time, according to market insiders, the current week is expected to remain dull in terms of scrap sales given that Punjab area has been hit by bad air quality and smog, while construction activity is also partially restricted.
Meanwhile, offers for local rebar of grade 60 10-12 mm from mills have been voiced at around PKR 245,000/mt ($885/mt) ex-works, down by PKR 5,000/mt ($18/mt) week on week. Besides, offers for local scrap equivalent to shredded have settled at PKR 145,000/mt ($524/mt) ex-warehouse, down by PKR 5,000/mt ($18/mt) week on week.
All prices on Pakistani rupee basis include 18 percent VAT.
$1 = PKR 276.90