SteelMint: India's domestic steel scrap index drops INR 300/t amidst bearish sentiments

SteelMint's domestic steel scrap (end-cutting) index fell by INR 300/tonne (t) to INR 49,400/t DAP Mandi Gobindgarh on 29 Mar'22.

Amidst the uncertain price movements, buyers opted for a wait-and-watch mode which led to subdued trading in the spot market throughout the day, SteelMint learnt from sources.

Meanwhile, there were plenty of offers in the market but trading activities remained almost nil due to liquidity crunch with fiscal year-end approaching.

The Index derives the HMS 80:20 scrap (Heavy, Med), and CR busheling scrap prices traded in the region.

Prices in INR/t, DAP (Delivered at Plant)

To see SteelMint's Melting Scrap Assessment, pricing methodology and specification documents, Click here

What is SteelMint Indian scrap index - SteelMint's assessment of Mandi scrap reflects the prices of different melting HMS grade generated and traded in the domestic market.SteelMint gathers and verifies information from buyers and sellers active in the physical spot market. The data obtained by SteelMint, are normalized for yield, dimensions, density, location and other terms of trade to the specifications.

Why this index? In order to bring more transparency in domestic scrap prices in India, we have adopted this robust methodology to ascertain the price trends.

Methodology - Market data, including deals, bids, and offers that meet the delivery and quality criteria are considered for price assessments. The highest importance in the price calculation process is assigned to confirmed deals (T1) where either a buyer or seller has provided details of the transaction. Deals of only reputed and trustworthy producers and trading firms are included in the price collection and calculation process. Indicative prices, confirmed bids and offers are also considered valuable for the pricing process (T2). The index has been calculated using an average of T1 and T2 price inputs.

To provide feedback on this index or if you would like to contribute by becoming a data partner, please contact - info@steelmint.com.