India: Alang scrap prices ease as regional steel markets remain mixed

• HMS 80:20 prices decline by INR 100/t amid cautious buying sentiment
• Gujarat faces material shortages, while subdued demand limits steel price gains

Alang’s ship-breaking melting scrap prices (HMS 80:20) eased by INR 100/tonne (t) day-on-day (d-o-d) to INR 38,000/t ($400/t) ex-yard on 23 October 2026. Market sentiment remained cautious, with buyers closely tracking finished steel demand and limiting procurement to immediate requirements. The marginal decline indicates limited buying support, despite prices holding near recent levels. Market participants continue to assess the sustainability of demand before committing to larger volumes, restricting the scope for a sustained price recovery.

Gujarat market update

In Gujarat, billet prices at Bhavnagar declined by INR 300/t d-o-d to INR 46,800/t DAP, while rebar prices in Ahmedabad remained stable at INR 53,000/t ex-works. Market participants reported a shortage of scrap and other raw materials, but demand for finished steel remained subdued. The limited availability of material has not translated into stronger prices, as weak downstream consumption continues to constrain buying activity and steelmakers’ ability to pass on higher input costs.

Mandi market update

In Mandi Gobindgarh, billet prices remained stable at INR 47,200/t DAP on 22 October, while rebar prices rose by INR 100/t day-on-day (d-o-d) to INR 52,300/t ex-works. HMS 80:20 scrap prices were unchanged at INR 37,600/t DAP.

With most mills holding comfortable scrap inventories, suppliers have been compelled to lower offers to stimulate buying interest. The widening gap between material availability and demand continues to weigh on scrap market sentiment. Mills remain cautious about fresh procurement, limiting purchases to immediate requirements despite the modest increase in rebar prices.