The Turkish ferrous scrap import market has quietened in the run-up to the end of the Islamic fasting month of Ramadan on 10 April.
The Argus daily cfr Turkey HMS 1/2 80:20 ferrous scrap price assessment remained at $384/t and the cfr Turkey (short-sea) HMS 1/2 80:20 scrap price assessment at $370/t.
Turkish mills so far have booked around six May-loading deep-sea cargoes. If the domestic and export rebar market dynamic remains at current sluggish levels, their May loading requirements are not expected to be vast — around 30 vessels, according to market participants.
The current scrap to rebar price ratio is generally considered satisfactory, but still close to breakeven point for Turkish mills. They are likely to come back after the holidays with lower bid indications, betting on higher seasonal supply into docks and relatively lower domestic US and European mills' requirements.
Considering the US domestic markets' overall flat April settlement, slightly lower mills' buying programmes because of outages and stable export dock yard prices, expectations are for US scrap exports to Turkey to increase in proportion to the continental European and the UK material. Dockside prices are higher on the continent and the inflows need to be stimulated with higher prices, as they are currently described as rather low, curbing European suppliers' ability to sell at lower prices.
The short-sea market was similarly stuck, with no activity today, with buy and sell-side expectations around $7-10/t apart.
