BigMint is a Market Intelligence and Price Reporting firm that caters to the data and analytics requirements of businesses in the commodities sector. It publishes real time prices and information, which is impartial, independent and reliable, sourced from all industry interfaces – sellers, buyers, agents and traders. This data is filtered and passed through very stringent, calculative assessments before final prices are derived, thereby giving our clients accurate pricing.

Go to List

India: BigMint's ferrous scrap index drops INR 200/t ($2.40/t)-23 May

...

Melting Scrap

BigMint Bureau

141 Reads

23 May 2024, 18:47 IST

India: BigMint's ferrous scrap index drops INR 200/t ($2.40/t)-23 May

Scrap prices witness marginal drop

Imported bulk scrap vessel arrives at Chennai port

BigMint's domestic end-cutting scrap index, which tracks the Mandi Gobindgarh market in north India, fell by INR 200/tonne (t) to INR 41,200/t DAP on 23 May, 2024. Yesterday's trading session witnessed a slightly sluggish pace in the semis and finished steel markets, contributing to the decline in scrap prices. Moreover, a persistent liquidity crunch has added further pressure on market participants.

Scrap prices have been range-bound since last week, showing no significant fluctuations.

Raw material prices

In Mandi, sponge iron (CDRI) prices fell by INR 200/t d-o-d to INR 35,000/t, while pig iron (steel grade) prices in Ludhiana have remained stable at INR 43,500/t for five consecutive days amid moderate trading activity.

Steel market

Steel ingot prices in Mandi fell by INR 200/t d-o-d to INR 46,900/t during the price reporting and normalisation process. On the other hand, prices of semis in other major markets witnessed a decline in the range of INR 100-300/t.

Rebar (Fe500) prices in the region decreased by INR 200/t to INR 51,700/t today.

Overview of other markets

Alang, Gujarat witnessed consistent ship-breaking melting scrap prices on 23 May, marking the fifth consecutive day of stability. BigMint's assessment indicated that HMS (80:20) was priced at INR 38,800/t ($466/t) ex-yard. Prices for semi-finished and finished steel experienced marginal fluctuations in the last trading session and given the moderate trade activity in scrap, suppliers opted to keep their prices stable today.

Price highlights

End-cutting and billets spread: In Mandi, the end-cutting scrap and billets spread was at INR 5,600-5,700/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were at around $398-$400/t, which equates to approximately INR 35,495/t (including freight),while local scrap-HMS (80:20)-prices in Mumbai remained unchanged at INR 36,500/t d-o-d. In India, indicative prices of shredded scrap from Europe stood at $413-$418/t CFR Nhava Sheva.

A bulk scrap vessel from Singapore arrived at Chennai port, comprising shredded, busheling and PNS scraps, with the average price at $420/t CFR, according to market sources.

Raipur sponge iron-billet spread: The current conversion spread (margin) from pellet-based DRI (P-DRI) to steel billets in Raipur stands at INR 15,300/t.