A bulk vessel of 41,000 MT Shredded Scrap, which was departed from Oakland, US West Coast on 23 Nov’14, is at anchorage at Kandla Port, Gujarat.
Sources informed that Hariyana group, which owns the consignment, is offering the material at USD 335-337/MT, CNF Kandla Port. The company will be offering Scrap at INR 22,800/MT on stock & sales basis in the local market. Even the current offers for Shredded Scrap in the domestic market (Kandla) are found to be in the similar range of INR 22,700-23,000/MT, FoR.
Offers for HMS 1&2 at USD 310-315/MT, CIF India
Currently, offers for European scrap HMS 1&2 are observed in the range of USD 310-315/MT, CIF Nhava Sheva. Though, European market is closed on the occasion of Christmas, few deals were heard to be settled at these level, with deliveries to take place after holidays.
An importer shared, he has booked 1,000 MT of European HMS 1&2 at USD 312/MT, CFR Nhava Sheva. The consignment is expected to load once the market re-opens on 5 Jan, 2015.
On the other hand, an importer based in West Coast of India is offering 25-tonnes-loading Scrap from South Africa at around USD 310/MT and HMS 80:20 Scrap from West Africa at around USD 305/MT, CFR Pipavav/Mundra/Nhava Sheva.
A furnace owner-cum-Scrap consumer based in Ludhiana shared, “We are getting offer for HMS 1&2 at around USD 310-315/MT, CFR Nhava Sheva from Midde East, but we are more inclined towards HMS-1, which is currently being offered at around USD 320-325/MT, CFR Nhava Sheva.”
“Our readiness towards Middle East originated HMS-1 is because of it’s better recovery, justified pricing and increased inland freight charges that has made us to think about optimizing the loading”, he further added.
Sources reported that some handful of deals for HMS-1 were heard to be settled at around USD 318-322/MT, CFR Nhava Sheva.
Global Scrap Prices (in USD/MT) as on Week 01 (29 Dec’14-04 Jan’15)
| Particular | Grade/Origin | Delivery | Price | W-o-W | M-o-M |
| Indian Import | HMS (80:20)/ Europe | CNF Mumbai | 312 | 0 | -3 |
| HMS (80:20)/ Europe | CNF Chennai | 315 | 0 | 0 | |
| HMS-1/ Middle East | CNF Mumbai | 325 | -10 | -5 | |
| HMS 1&2/ Middle East | CNF Mumbai | 312 | -6 | -3 |
|
| HMS 1&2/ S.Africa | CNF Mumbai | 312 | 0 | -3 | |
| Shredded/ Europe | CNF Mumbai | 330 | 0 | +5 |
|
| Shredded/ N.America | CNF Mumbai | 340 | 0 | +2 |
|
| Turkey Import | HMS (80:20)/ N.America | CNF Turkey Major Port | 320 | 0 | +22 |
| Taiwan Import | HMS (80:20)/ N.America | CNF Taiwan | 282 | 0 | -5 |
| Europe Export | HMS (80:20) | FOB Rotterdam | 294 | 0 | +21 |
Source: SteelMint Research
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