Go to List

SteelMint's domestic scrap index falls by INR 100/t as semi-finished steel prices drop

SteelMint’s domestic scrap index remained almost stable as the market fluctuated in the range of INR 200/t today. Meanwhile, end-user demand for steel continued...

Melting Scrap
By
398 Reads
17 Jan 2023, 18:25 IST
SteelMint's domestic scrap index falls by INR 100/t as semi-finished steel prices drop

SteelMint's domestic scrap index remained almost stable as the market fluctuated in the range of INR 200/t today. Meanwhile, end-user demand for steel continued to remain limited. SteelMint's domestic steel scrap (end-cutting) index decreased by INR 100/tonne (t) to INR 44,400/t DAP Mandi Gobindgarh on 17 January, 2023.

During morning trading today in Mandi Gobindgarh, north India, steel ingots prices opened on a negative note, decreasing by INR 400/t to INR 50,200/t, but inching up later in the day to INR 50,300/t at the time of reporting and price normalisation. Prices in almost all the key markets decreased by up to INR 400/t today.

Trading in semi-finished and finished steel remained limited with only need-based purchases taking place. In addition, liquidity issues persisted in the market, putting a brake on buying.

"There is low demand for finished steel and buyers are in a silent mode, which is creating selling pressure and resulting in price correction," a source informed.

Snapshots of other markets

Alang: Ship-breaking melting scrap prices in Gujarat's Alang market saw an uptick of INR 200/t d-o-d on 17 January. As per SteelMint's assessment, HMS (80:20) prices stand at INR 40,000/t ex-yard. Increasing semi-finished steel prices along with moderate buying interest for scrap by the induction furnace mills in Bhavnagar prompted suppliers to hike offers, sources informed.

Chennai: Today in southern India's Chennai market billets and rebars prices remained stable. While HMS 80:20 prices edged up by INR 300/t to INR 36,000/t DAP. Market movement remained silent due to Pongal festival celebration.

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 $435-440/t (including freight, which equates to approximately INR 38,100/t), while local scrap - HMS (80:20) - prices in Mumbai were assessed at INR 37,800/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 15,650/t.

To see SteelMint'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 - info@steelmint.com.

 

17 Jan 2023, 18:25 IST

 

 

You have 0 complimentary insights remaining! Stay informed with BigMint
;