India: SteelMint's scrap index dips by INR 300/t tracking semis price trend
SteelMint’s domestic steel scrap (end-cutting) index decreased by INR 300/tonne (t) to INR 45,300/t DAP Mandi Gobindgarh on 3 January, 2023. Today, steel ingots...
SteelMint's domestic steel scrap (end-cutting) index decreased by INR 300/tonne (t) to INR 45,300/t DAP Mandi Gobindgarh on 3 January, 2023.
Today, steel ingots prices in Mandi saw a marginal correction of INR 300/t d-o-d to INR 50,200/t at the time of reporting and price normalisation. Prices in almost all the key markets have either remained stable or decreased by up to INR 700/t today.
In today's session, demand for semi-finished and finished steel remained limited with only need-based purchases taking place. Also, liquidity issues persisted in the market, slowing down buying activity.
Snapshots of other markets-
Alang: Ship-breaking melting scrap prices in Gujarat's Alang market rose by INR 500/t d-o-d on 3 January. As per SteelMint's assessment, HMS (80:20) prices are assessed at INR 39,500/t exy. Yesterday, semi-finished steel prices jumped by INR 1,000/t to INR 51,000/t in Bhavnagar due to good demand. This coupled with active buying interest for scrap by the induction furnace mills prompted suppliers to hike their offers today.
Jalna: In western India-based Jalna market, billets and rebars prices remained stable today, while HMS 80:20 prices increased by INR 300/t to INR 38,900 DAP.
Price highlights-
End-cutting and billets spread: In Mandi, the spread between end-cutting scrap and billets was at around INR 5,000-5,200/t.
Domestic and imported scrap price gap: Imported melting scrap prices at Nhava Sheva Port were at around $423-425/t (including freight, which equates to approximately INR 37,300/t), while local scrap - HMS (80:20) - prices in Mumbai were assessed at INR 38,800/t.
Raipur sponge iron-billet spread: The current conversion spread (margin) from pellet-based DRI (P-DRI) to steel billets in Raipur stands at around INR 15,100/t.
To see SteelMint's Melting Scrap Assessment, pricing methodology and specification documents, Click here
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