India world’s third-largest scrap importer after Turkey and South Korea has witnessed fall in its ferrous scrap imports during Jan-Nov’17. As per customs data, India imported 4.24 MnT ferrous scrap during Jan-Nov’17, which was recorded at 4.89 MnT during the first eleven months in CY16. Thus, scrap imports registered 13% Y-o-Y fall as against the imports during the same time frame of last year.
Indian scrap imports also fell marginally by 1.25% Y-o-Y in first eight months of FY18, as against 3.19 MnT ferrous scrap imports in Apr-Nov’16, scrap imports stood at 3.15 MnT in a current fiscal year.
Scrap imports have come down by 12% M-o-M in Nov’17 against imports in Oct’17.India imported 0.30 MnT ferrous scrap in Nov’17 against 0.34 MnT ferrous scrap imports in Oct’17. However, on yearly comparison, imports remained unchanged as against 0.30 MnT ferrous scrap imports in Nov’16.
Cheaper availability of domestic scrap and DRI has kept away Indian mills from importing scrap in large volumes. Also, global scrap offers have remained on the higher side. In 2017, the average prices for USA origin Shredded scrap to India increased by USD 75/MT from around USD 240/MT, CFR in CY16, to USD 315/MT, CFR. Likewise, prices for HMS 1&2 from Middle East increased by 75/MT, from an average around USD 220/MT to USD 295/MT, CFR. The domestic prices for HMS scrap in CY17 averaged at INR 20,680/MT Ex. Mumbai as against INR 16,100/MT, during CY16.
Top Indian ports for ferrous scrap imports were Kandla, Chennai, JNPT and Vizag.
United States remained largest scrap exporter to India –
During Jan-Nov’17, United States exported highest (0.69 MnT, -25% Y-o-Y) ferrous scrap to India. Followed by United Arab Emirates (0.60 MnT, -12% Y-o-Y) and United Kingdom (0.46 MnT, -43% Y-o-Y) with second and third largest exporter places of ferrous scrap to India respectively during eleven months in CY17.
Other prominent sources of ferrous scrap to India during Jan-Nov’17 were – South Africa (0.24 MnT), Australia (0.21 MnT), Hong Kong (0.18 MnT), Malaysia (0.17 MnT), Singapore (0.15 MnT) and Tanzania (0.13 MnT).
In Nov’17, United States and UAE supplied 0.05 MnT and 0.04 MnT ferrous scrap to India. China, Singapore and United Kingdom exported 0.02 MnT ferrous scrap. While Australia, South Africa, Hong Kong and Malaysia exported each 0.01 MnT ferrous scrap to India in Nov’17 respectively.
Country-wise India ferrous scrap imports –
| Country | Nov’17 | Oct’17 | M-o-M % Change | Nov’16 | Y-o-Y % Change | Jan-Nov’17 | Jan-Nov’16 | % Change |
| United States | 0.05 | 0.05 | 0.00% | 0.04 | 25.00% | 0.69 | 0.92 | -25.00% |
| United Arab Emirates | 0.04 | 0.05 | -20.00% | 0.04 | 0.00% | 0.60 | 0.68 | -11.76% |
| United Kingdom | 0.02 | 0.02 | 0.00% | 0.04 | -50.00% | 0.46 | 0.80 | -42.50% |
| South Africa | 0.01 | 0.03 | -66.67% | 0.02 | -50.00% | 0.24 | 0.20 | 20.00% |
| Australia | 0.01 | 0.01 | 0.00% | 0.01 | 0.00% | 0.21 | 0.24 | -12.50% |
| Others | 0.17 | 0.18 | -5.56% | 0.15 | 13.33% | 2.04 | 1.92 | 6.25% |
| Total | 0.30 | 0.34 | -11.76% | 0.30 | 0.00% | 4.24 | 4.89 | -13.29% |
Quantity In MnT,
Source: SteelMint Stats
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