Large gaps have opened up between the valuations from buyers and sellers, according to market participants, which is preventing business from being concluded.
“Customers are not willing to pay what the yards are asking,” one seller said.
“Buyers have to come forward now,” an Indian trader added.
One reason for the lack of activity was low demand for finished steel bleeding through into the import scrap markets. Low steel prices mean that some local mills are running at losses of $20 per tonne of steel, according to one seller, which is pushing consumers out of the market for imported scrap.
Another factor causing the lull in buying activity was the appreciation of the euro against the US dollar, which has forced up prices...