Imported scrap offers to Indian market are stable, however importers think some recovery in Indian Rupee against USD and some correction in scrap offers may help pick up imports.
Indian Scrap importers wait for Rupee to improve against Dollar, which has shown some signs of improvement in last few days. Currently Rupee is trading at 62-63 per USD, which had touched an all time low of 68.90 in August 2013.
SteelMint assessed that offers from Dubai HMS 1&2 are in the range of USD 335-340/MT CFR Mumbai which is increased by USD 5-10/MT W-o-W. Similarly, offers from UK and Europe for shredded scrap are being quoted at USD 375-380/MT CFR Mumbai and HMS at around USD 355-360/MT CFR Mumbai, in containers.
Importers believe that importers will pick up if either rupee recovers to 58-59 levels against USD or scrap offers fall by USD 15-20 in global market.
According to market participants, the Korea based company Hyundai steel booked approx quantity of 1,30,000 MT for Scrap HMS 1 from US the prices have been quoted at USD 365/MT CFR Korea. All bookings are to be made for October '13 shipment.
On the other side, the domestic Scrap prices increased by Rs 1,500/MT M-o-M for HMS (80:20) because of no viability in imported scrap as well as export of Iron ore pellet.
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