- Monsoon slowdown keeps copper scrap buying activity largely subdued.
- Higher LME prices lift offers, deals remain limited nationwide
Copper scrap prices in India moved higher w-o-w on 14 July 2026, however with only marginal fluctuations in trades as domestic demand remains seasonally slow. London Metal Exchange (LME) copper prices rose to around $13,600/t from nearly $13,100/t last week; although gains were amid expectations of prolonged higher US interest rates and uncertainty over proposed US copper import tariffs.
At the domestic level, buying activity remained largely requirement-driven across major trading hubs. According to BigMint’s assessment, copper armature scrap, ex-Delhi, up w-o-w, edging up just by 3% to INR 1,225,000/t from INR 1,190,000/t.
The rally was supported by a weaker US dollar, which improved buying interest, and continued declines in LME and SHFE inventories, signalling tighter near-term physical availability. Persistent concerns over constrained mine supply and low treatment charges (TCs) also reinforced bullish sentiment, offsetting broader macroeconomic uncertainties.
The Indian copper scrap market remained subdued during the week, with seasonal monsoon conditions continuing to weigh on trading activity across major consuming centres. Demand from secondary manufacturers and wire and cable producers remained weak, limiting spot transactions despite improved price sentiment. Most buyers continued to procure only against immediate production requirements, avoiding bulk purchases amid uncertainty over the sustainability of recent price gains.
Imported scrap prices moved higher following the sharp recovery in LME copper during the week. However, the rise in offers failed to stimulate fresh bookings, as buyers were unwilling to absorb the higher cost. Sellers attempted to pass on the increase in international prices, but deal closures remained limited due to persistent resistance from consumers. Market participants noted that bid-offer gaps widened further, particularly for premium grades such as Birch/Cliff and Millberry, making negotiations increasingly difficult.
Domestic scrap availability remained largely adequate, with no major supply constraints reported. However, traders holding inventories purchased at lower replacement costs were selective in offering material, anticipating further upside in international prices. Meanwhile, downstream demand from the electrical, engineering and brass segments remained below expectations, resulting in slow inventory movement.
Overall, market sentiment remained cautious despite the recovery in benchmark prices. Participants indicated that a sustained improvement in physical demand would be necessary before higher international prices translate into stronger trading activity in the domestic scrap market.
Outlook
India’s copper scrap market is expected to remain slow for the rest of July as the monsoon season and weak demand continue to affect buying activity. Although higher LME copper prices have pushed up scrap offers, most buyers are expected to continue purchasing only as per their immediate requirements instead of building stocks. Sellers may try to hold firm on offers due to higher replacement costs, but actual deals are likely to remain limited until demand from end-users improves. Overall, the market is expected to stay cautious, with trading activity remaining muted in the near term.
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