- Southern, western markets lead price rally
- Import parity limits overseas bookings
India’s ferrous scrap market witnessed a regional divergence in March 2026, with CR busheling scrap prices rising sharply in the southern and western regions, while markets in north India witness prices remaining stable at elevated levels. The uptrend was primarily driven by tight domestic availability and rising replacement costs amid constrained OEM scrap generation.
Regional price trends
The southern region led the rally, with CR busheling scrap prices increasing by INR 1,925/t m-o-m to INR 36,090/t. The western Indian markets followed, gaining INR 780/t to INR 35,790/t. In contrast, prices in the northern region held steady at INR 38,300/t DAP, supported by consistent demand from key secondary steel hubs such as Ludhiana and Mandi Gobindgarh.
CR busheling auction comparison m-o-m
HRC, CRC price trends
Month-on-month, trade-level HRC prices rose by INR 2,850/t to INR 56,600/t in March, up from INR 53,750/t in February. Meanwhile, CRC prices surged by INR 3,500/t to INR 63,200/t from INR 59,700/t over the same period. This was driven by tight material availability and ongoing geopolitical uncertainty. The near-term outlook remains positive, buoyed by expectations of price announcements from mills.
Imported vs domestic scrap
Imported CR busheling scrap prices remained uncompetitive, with offers at Kandla and Mundra assessed at $415-425/t CFR, translating to INR 40,680-43,000/t DAP north India after duties and freight. The widening gap with domestic scrap prices at INR 38,300-38,550/t DAP curtailed import bookings, as mills preferred locally available material amid cost pressures and geopolitical uncertainties.
Supply-side constraints
The rise in CR busheling scrap prices was largely supply-driven. Reduced OEM production, including lower operating rates in the auto and engineering sectors, significantly curtailed scrap generation. Additionally, constrained availability of cold rolled coils further limited fresh scrap inflows into the market.
Upcoming scrap auctions
Outlook
CR busheling scrap prices are expected to remain firm in the near term, supported by tight supply and steady demand. However, any recovery in OEM production or improvement in CRC availability may halt the upward movement of prices.
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