India: SteelMint domestic scrap index edges up by INR 100/t d-o-d
SteelMint’s domestic steel scrap (end-cutting) index inched up by INR 100/t d-o-d to INR 42,200/t DAP Mandi Gobindgarh on 13 May, 2023. The index was supported ...
SteelMint's domestic steel scrap (end-cutting) index inched up by INR 100/t d-o-d to INR 42,200/t DAP Mandi Gobindgarh on 13 May, 2023. The index was supported by moderate demand for semi-finished steel.
In Mandi, steel ingot prices edged up by INR 200/t to INR 47,300/t at the time of reporting and price normalisation. Prices in almost all key markets increased by INR 100-200/t. Demand for semi-finished steel remained positive.
Trade highlights
"The scrap market was silent in the first half of today's trading session while in the second half, buyers turned active and active inquiries were seen," a scrap trader informed SteelMint.
In Mandi, domestic scrap demand is still good, and mills are approaching local traders for new bookings.
Imported scrap
Imported scrap prices went up marginally towards the weekend with buyers turning active, resulting in decent volumes getting booked.
Shredded scrap of EU-origin stood at $437/t while the same grade from US was assessed at $433/t.
Overview of other markets
Ship-breaking melting scrap prices in Gujarat's Alang market edged up by INR 200/t on 13 May. HMS (80:20) prices stand at INR 38,500/t ex-yard. The rise in semi-finished steel prices in north India and moderate scrap buying by induction furnace mills in the region prompted suppliers to raise their offers.
Chennai market witnessed modest trade for semi finished and finished steel. Billet prices in the region stood at INR 46,800/t, while rebar prices were assessed at INR 52,500/t exw.
Price highlights
End-cutting-billets spread: In Mandi, the end-cutting scrap and billets spread stood at INR 5,000-5,500/t.
Domestic/imported scrap price gap: Imported melting scrap prices at Nhava Sheva Port were at around $420-$425/t, which equates to approximately INR 37,158/t (including freight). Local scrap (HMS 80:20) prices in Mumbai stood at INR 37,600/t, increasing by INR 400/t d-o-d.
Raipur sponge iron-billet spread: The current conversion spread (margin) from pellet-based DRI (P-DRI) to steel billets in Raipur stood at INR 15,250/t.
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