KARACHI: Pakistan’s iron and steel scrap imports surged to a historic peak in October, reaching 381,991 tonnes — the highest monthly intake ever recorded. This surpasses the previous record of 366,610 tonnes set in September, signalling an uptick in steel bar production, a key indicator of renewed activity in the construction and infrastructure sectors.
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Industry officials say the surge also reflects the revival of several older high-rise projects that had stalled due to economic and operational hurdles. Data from the Pakistan Bureau of Statistics (PBS) shows that iron and steel scrap imports rose to 1.299 million tonnes, worth $680 million, during the first four months of FY26. This marks a 58.5pc jump in quantity compared to 819,650 tonnes last year, though the value increased only 2.4pc, indicating a sharp drop in global scrap prices.
KARACHI: Pakistan’s iron & steel scrap imports jumped 30% YoY in Sept 2025 to a 4-year high, driven by revived construction activity and lower global prices signaling recovery in the steel and cement sectors.#PakistanEconomy #Steel #Construction pic.twitter.com/U8o2UcGAg9
— PEconomist (@peconomist_) October 26, 2025
The average per-tonne price fell from $810 to $523 over the period, helping reduce overall production costs for domestic manufacturers. Pakistan Association of Large Steel Producers (PALSP) Secretary General Syed Wajid Bukhari told Dawn that the rising demand for steel bars is driven largely by “actual pull” from the market rather than lower international scrap prices. He expressed hope that the demand increase would prove sustainable.
Mr Bukhari said government initiatives aimed at reviving construction activity are beginning to show results. Among them is the upcoming Apna Ghar Apna Ashiana housing scheme, which the industry views as a positive step toward stimulating long-term demand. He added that falling global scrap prices have sharply reduced domestic rebar prices.
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Despite government-set minimum values suggesting steel bars should cost Rs242,000 per tonne, current market prices hover around Rs220,000, according to builders. Meanwhile, cement dispatches have also risen, with local sales growing 18pc to 13.849m tonnes during July–October FY26, boosted by post-monsoon reconstruction and improved site accessibility.