SteelMint’s domestic steel scrap (end-cutting) index increased by INR 1,600/tonne (t) d-o-d to INR 49,900/t DAP Mandi Gobindgarh on 28 April 2022.
The key factor that supported the price hike was the shortage of melting scrap in the spot market amidst ongoing administrative checkings across Punjab market to crack down on unaccountable transactions.
On the other side, in the finished steel segment, most of the traders seemed to be cautious in procuring the material, hence, very few future bookings were seen.
A trader said, “The price hike today is an artificial increase that will be corrected in next two to three days.”
Today, Alang’s (Gujarat) ship-breaking prices increased by INR 700/t d-o-d on improved transactions, as per SteelMint reports. HMS (80:20) prices are assessed at INR 49,200/t exy.
Today, 15 sets of trades, indicative prices/bids/offers were recorded in the publishing window.
The Index also derives the HMS 80:20 scrap (Heavy, Med), and CR busheling scrap prices traded in the region.
Scrap Grade and Spread Calculation: (Mandi Gobindgarh)
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.
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