- Steelmakers increase raw material purchases
- Most mills optimistic about price hikes from Aug
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, remained firm d-o-d at INR 35,900/t DAP on 28 July 2025. The stability in scrap prices could be attributed to decent buying activity in today’s trading session. Scrap prices remained unchanged for the last two working days in the region.
A mill owner informed BigMint, “Raw material procurement has improved in Mandi, as mills are showing renewed interest. While regional demand recovery is supporting price resilience, movement in finished steel remains limited. However, most mills are optimistic that steel prices will trend upward next month.”
Alternative raw material prices
In Mandi, sponge iron (CDRI) prices rose by INR 200/t d-o-d to INR 30,000/t DAP. This marks a cumulative rise of INR 1,100/t over the past seven working days, reflecting sustained buying interest and a firm market tone.
Similarly, pig iron prices in Ludhiana edged up by INR 200/t d-o-d to INR 36,200/t DAP. Market participants pointed to a gradual recovery in sentiment.
Steel market trends
In Mandi, steel ingot prices declined by INR 100/t d-o-d to INR 40,700/t DAP. The semi-finished steel market remained range-bound with minor fluctuations, largely influenced by seasonal factors. Meanwhile, rebar (Fe 500) prices remained unchanged d-o-d at INR 45,600/t ex-works.
Overview of Alang market
The ship-breaking scrap market in Alang remained unchanged for the second consecutive day, reflecting a steady trend in melting scrap prices. BigMint assessed HMS (80:20) at INR 32,200/t ex-yard, with no fluctuations observed since the previous trading session.
Upcoming scrap auctions
Price highlights
End-cutting-billets spread: In Mandi, the end-cutting scrap and billet spread stood at INR 4,800-5,200/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were at $330-332/t, which equates to approximately INR 30,980/t (including freight). HMS (80:20) prices in Mumbai decreased by INR 100/t d-o-d to INR 30,700/t DAP today. Indicative prices of shredded from Europe stood at $360/t CFR Nhava Sheva.
Raipur sponge iron-billet spread: The conversion spread (margin) between pellet-based DRI (P-DRI) and steel billets in Raipur stood at INR 12,700/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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