KARACHI: The country has continued to aggressively import iron and steel scrap, reaching a record high of 381,991 tonnes in October. This figure surpasses the previous peak of 366,610 tonnes recorded in September, indicating an improvement in the production of steel bars used for housing and other infrastructure projects.
Record imports also suggest a revival of construction work on some old high-rise projects which had been delayed for various reasons.
According to the Pakistan Bureau of Statistics (PBS) data, imports of iron and steel scrap reached 1.299 million tonnes ($680 million) during 4MFY26, up from 819,650 tonnes ($664m) in the same period last year, a surge of 58.5pc in quantity and 2.4pc in value. However, the average per-tonne price plunged to $523 from $810 over the above period.
Pakistan Association of Large Steel Producers (PALSP) Secretary General Syed Wajid Bukhari told Dawn that demand for steel bars has increased owing to some improvement in construction activity.
He hoped this was not a temporary surge but rather a sign that it would continue. “This has nothing to do with the reduction in the iron and steel scrap prices internationally. Demand is actual pull,” he added.
He was of the view that the government is taking more initiatives to revive construction activities, which are very much needed and a step in the right direction. Mr Wajid pointed out that one initiative is the Apna Ghar Apna Ashiana scheme, which the government is expected to launch soon. The association welcomes these initiatives.
Following a drop in world iron and steel scrap prices, he claimed there has been a tremendous reduction in rebars’ prices in the market.
According to the minimum values set by the government for sales tax collection, he said the price of steel bars should be Rs242,000 per tonne, but prices right now are far below that level. A builder said that the current steel bar price is Rs220,000 per tonne.
On the contrary, local despatches of cement during July-October FY26 rose by 18pc to 13.849m tonnes from 11.728m tonnes in the same period last year after the start of post-monsoon construction activities and easing of flood-related disruptions.
Published in Dawn, November 27th, 2025