India: BigMint's ferrous scrap index rises marginally amid moderate sentiment
...
- Scrap prices up INR 700-800/t w-o-w in Mandi
- Finished steel, semis markets witness mixed trends
BigMint's domestic steel end-cutting scrap index for Mandi Gobindgarh increased by INR 100/tonne (t) to INR 41,300/t DAP. Today, the scrap market witnessed moderate trade activity. In the region, mills are actively considering the procurement of imported scrap at offer prices.
On a weekly basis, scrap prices improved by INR 700-800/t with decent trade activities seen in the region.
Raw material prices
Prices of sponge iron (CDRI) in Mandi declined by INR 200/t to INR 35,000/t stayed constant at INR 35,200/t, while pig iron (steel grade) prices in Ludhiana remained unchanged at INR 43,500/t, based on a delivered-at-plant (DAP) basis.
Steel market
In Mandi, steel ingot prices rose by INR 100/t, reaching INR 47,000/t during reporting and price normalisation. Similarly, prices in various markets witnessed a mixed trend today. Mumbai saw a drop of INR 300/t in prices to INR 46,600/t, while Raipur witnessed an increase in prices by INR 100/t to INR 44,050/t d-o-d.
Rebar(Fe500) prices in Mandi remained stable at INR 51,700/t with routine trades.
Overview of other markets
Mumbai's IF route Rebar (Fe 500) prices remained stable d-o-d at INR 53,200/t exw. The market witnessed limited trading activities in finished steel as buyers opted for need-based purchases. Additionally, billet prices decreased by INR 200/t d-o-d to INR 47,200/t due to a lack of demand in finished steel. Scrap (HMS 80:20) prices are INR 36,000/t DAP. Th conversion spread from scrap to billet is assessed at INR 11,200/t.
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 $400-$405/t, which equates to approximately INR 35,940/t (including freight),while local scrap-HMS (80:20) prices in Mumbai remained unchanged at INR 36,000/t d-o-d. In India, indicative prices of shredded scrap from Europe stood at $415-$418/t CFR Nhava Sheva.
Raipur sponge iron-billet spread: The current conversion spread (margin) from pellet-based DRI (P-DRI) to steel billets in Raipur stood at INR 15,350/t.
To see BigMint's melting scrap assessment, pricing methodology and specification documents, Click here
To provide feedback on this index or if you would like to contribute by becoming a data partner, please contact - support@bigmint.co
