Imported scrap offers to India corrected by USD 5-10/MT this week owing to fall in scrap demand in global market, including other factors.
Despite recent uptick in domestic steel prices in last two days, imported scrap offers floating to India have fallen by USD 5-10/MT in a week’s time. Clear resistance seen in scrap buying from Turkey has led to fall in global scrap prices.
Fall in Indian semi finish prices last week and depreciating Indian currency against Dollar added to the resistance in buying for imported scrap. However, the latest rumors/anticipation of MIP announcement on 5 Feb’16 has created a stir in market, resulting in price rise of around INR 500-1,000/MT within two days time.
Offers from Europe/US for HMS 80:20 (22-23 tonnes loading) are heard in the range of USD 180-185/MT CFR India. While, shredded fell to USD 195-200/MT, CFR India.
License issues are still continued in South Africa. Few HMS offers from South Africa heard to remain at USD 195/MT, CFR India (25 tonnes loading) and Middle East at USD 195-200/MT, CFR India (25 tonnes loading).
Scrap participants were seen taking more interest on Middle East scrap against other origins, after witnessing market turning bullish in past two days avail faster deliveries.
No fresh scrap offers were heard from Japan as Japanese suppliers are unwilling to export scrap presently. Decent demand for scrap in Japanese market and currency appreciation, Yen against USD ( has reduced export realization) have kept suppliers out from the export market.
Global Scrap Offers as on 3 Feb’16
| Particular | Size/Grade | Prices in USD/MT | W-o-W Change |
| CNF India | HMS(80:20), Europe | 180-185 | – 8 |
| HMS-1, Middle East | 200 | – 10 | |
| HMS-1&2, Middle East | 190 | – 10 | |
| HMS-1&2, S.Africa | 195 | 0 | |
| Shredded, Europe | 195-200 | – 5 | |
| Shredded, US | 195-200 | – 5 | |
| CNF Turkey | HMS(80:20), US | 168-177 | – 10 |
| FOB Japan | Busheling Shredded | 175 | – 3 |
Source: SteelMint Research
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