Sentiments in the Indian imported ferrous scrap market
continue to improve as value of Rupee appreciates this week to reach around Rs
50/US$. Offers for ferrous scrap have increased by US$ 10-15/MT this week due
to healthy demand from Indian importers after the correction in value of Dollar.
Scrap export Offers from European countries are also expected to
come down due to weak demand from major importers i.e. Turkey & China.
Chinese buyers will remain absent due to Lunar Year and Turkish buyers have already replenished
their stock in mills. The absence of major buying countries might support Indian importers to book bulk orders in
the coming days.
Offers for HMS (80:20) reached to US$ 455-465/MT CFR India
depending upon the quality of materials and origins. Shredded scrap was offered
at $470-475/MT CFR Mumbai (UK origin). No deals were being heard sold for
shredded scrap.
A cargo of around 500 MT of HMS (80:20) was sold at US$
458/MT CFR Chennai from an African supplier. Demand for the material in
domestic market also moved up that supported the scrap prices in Chennai.
“All we are waiting for Rupee value to be stabilized in Forex
market so that we can book our orders. Demand for the product is likely to
improve”, said an importer based in Kandla.
“It
is hard to infer about the future outlook of import market. Once Dollar will be
stabilized, people will start buying. Imported scrap which were booked earlier, is reaching the local market which might correct the local prices for ferrous
scrap”, said a trader based in Jalna
Leave a Reply