SteelMint’s domestic scrap (end-cutting) index edged up by INR 300/t d-o-d to INR 44,300/tonne (t) DAP Mandi Gobindgarh on 6 March, 2023. The index rose slightly despite slowdown in trade activities even as shortage of scrap persists in the market.
Steel ingots prices in Mandi Gobindgarh rose by INR 300/t d-o-d to INR 49,700/t at the time of reporting and price normalisation. Prices in almost all the key markets increased by up to INR 300-400/t today. Bulk bookings were absent, though.
Low trade activites are being seen during the festive week of Holi, sources said.
“Selling pressure persists in the Mandi market as a result of low demand for finished steel and shortage of scrap continues in the market,” a source informed.
Snapshots of other markets
Gujarat: Ship-breaking melting scrap prices in Gujarat’s Alang market edged up by INR 200/t today. As per SteelMint assessment, HMS (80:20) prices are at INR 39,000/t ex-yard. An increase in semi-finished steel prices in the northern region and active scrap buying by Bhavnagar-based induction furnace mills prompted suppliers to raise offers.
Hyderabad: Today, prices of semis in south India’s Hyderabad market increased by INR 500/t to INR 49,000/t. Meanwhile, rebar prices increased by INR 500/t to INR 54,500/t. On the other hand, HMS 80:20 scrap prices increased by INR 300/t to INR 36,800/t DAP.
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 $445-$460 t (including freight, which equates to approximately INR 39,872/t), while local scrap – HMS (80:20) – prices in Mumbai were assessed at INR 38,000/t up by 200/t d-o-d.
Raipur sponge iron-billet spread: The current conversion spread (margin) from pellets-based DRI (P-DRI) to steel billets in Raipur stands at around INR 14,550/t.
To see SteelMint’s melting scrap assessment, pricing methodology and specification documents, Click here
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