India: SteelMint's scrap index inches up on limited trade enquiries
SteelMint’s domestic scrap (end-cutting) index edged up by INR 100/t d-o-d at INR 44,100/tonne (t) DAP Mandi Gobindgarh on 21 February, 2023. The index inched u...
SteelMint's domestic scrap (end-cutting) index edged up by INR 100/t d-o-d at INR 44,100/tonne (t) DAP Mandi Gobindgarh on 21 February, 2023. The index inched up with the market showing a "slowdown" in trade even as shortage of scrap persisted in the market.
Today, steel ingots prices in Mandi increased by INR 50/t d-o-d to INR 49,300/t at the time of reporting and price normalisation. Prices in key markets remained stable or increased by up to INR 100-200/t today.
Only need based purchases were made for semi-finished and finished steel. Additionally, market liquidity problems persisted, slowing the buying process.
Snapshots of other markets
Alang: Ship-breaking melting scrap prices in Alang, Gujarat opened stable d-o-d today. As per SteelMint's assessment, HMS (80:20) prices stand at INR 39,700/t exy. Limited buying inquiries for semis in yesterday's trading session, and decent scrap trading volumes at current price levels prompted suppliers to keep offers stable.
Chennai: Prices of semis, finished steel and scrap remained stable in the market for today's session. Meanwhile, demand and trade of finished material is limited. Rebars price of Chennai stands at 54,500/t ex-works.
Price highlights
End-cutting and billets spread: In Mandi, the end-cutting scrap and billets spread was at around INR 5,000-5,500/t.
Domestic and imported scrap price gap: Imported melting scrap prices at Nhava Sheva Port were at around $434-$446 t (including freight, which equates to approximately INR 39,118/t), while local scrap - HMS (80:20) - prices in Mumbai were assessed at INR 36,700/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 14,500/t.
To see SteelMint's melting scrap assessment, pricing methodology and specification documents, Click here
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