- Early-week scrap price rally loses momentum on cautious buying
- Semis, finished steel prices decrease by INR 100-200/t today
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, fell by INR 100/tonne (t) d-o-d to INR 37,900/t DAP on 29 July 2026 due to muted buying interest and weakening demand for finished steel. Scrap prices in the region declined by up to INR 200/t today across grades.
Mandi Gobindgarh, a key price benchmark for the secondary steel market, witnessed softer scrap buying today as demand weakened across semi-finished and finished steel segments. Prices in the local market fell by around INR 200-300/t in today’s trading session, prompting buyers to stay cautious and wait for further correction amid subdued end-user demand.
Market participants said sentiment turned fragile after the early-week price rise failed to sustain, with steelmakers and traders adopting a wait-and-watch approach. The broader secondary steel market in Mandi Gobindgarh remained under pressure, as limited downstream buying and weakening order flow continued to weigh on scrap and finished steel activity.
Raw materials
Sponge iron (CDRI) prices in Mandi gained INR 100/t d-o-d to INR 29,700/t DAP. Steel-grade pig iron prices in Ludhiana also increased by INR 500/t d-o-d to INR 42,000/t DAP. The price hike was driven by logistics constraints and improved demand.
Steel market trends
Ingot prices in Mandi Gobindgarh softened by INR 150/t d-o-d to INR 42,300/t DAP, while other major production centres reported declines of INR 100-500/t. Rebar (Fe500) prices in Mandi Gobindgarh dipped by INR 100/t to INR 47,000/t ex-works, while HR strip (patra) prices weakened by INR 300/t d-o-d to INR 47,200/t ex-works.
Price highlights
End-cutting to billet spread: In Mandi, the spread between end-cutting scrap and billets stood in the range of INR 4,200-4,600/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $332/t, approximately INR 34,100/t (inclusive of freight). HMS (80:20) prices in Mumbai remained stable day-on-day at INR 32,600/t DAP, supported by decent regional scrap demand. Some sellers were heard quoting around INR 33,000/t, while sentiment was buoyed by a firm finished steel market, with rebar prices rising in today’s trading session. Indicative prices of shredded from Europe stood at $395/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 13,350/t.
To see BigMint’s melting scrap assessment, pricing methodology and specification documents, click here
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