- Easing rains encourage buyers to return to steel market
- Steady vessel arrivals support future scrap supply pipeline
Ship-breaking melting scrap (HMS 80:20) prices in Alang, Gujarat, increased by INR 300/t ($3/t) d-o-d to INR 33,300/t ($349/t) ex-yard on 13 August 2026, supported by firmer regional steel prices and improved mill realisations.
Gujarat market update
Bhavnagar billet prices increased by INR 500/t to INR 41,700/t DAP, while Ahmedabad rebar prices rose by INR 100/t d-o-d to INR 46,200/t ex-works. Mills reported healthy booking activity in finished and semi-finished steel over the past couple of days. Easing rainfall across regions supported construction activity and encouraged buyers to return to the market, improving overall sentiment. With order books improving, mills gradually reduced spot discounts, resulting in higher effective realisations. Prices are likely to remain firm in the near term.
Mandi market update
In Mandi Gobindgarh, HMS 80:20 scrap prices increased by INR 200/t d-o-d to INR 35,400/t DAP. Mandi billet prices edged up by INR 350/t to INR 42,500/t, while rebar prices increased by INR 100/t to INR 47,000/t. Persistent scrap shortages and intensified GST checks continued to weigh on the market, keeping physical availability tight and supporting scrap prices.
Alang ship arrivals and beaching update
As of 12 August 2026, vessel arrivals at the Alang ship-breaking yard remained active. FT Island, a 1998-built Motor Tanker from South Korea, was beached at Plot 160 on 4 August, while Cutta, a 2001-built Motor Tanker from Romania, arrived at Plot 68 on 9 August. Frio Naruto, a 1996-built Reefer from Poland, is expected to arrive at Plot 15 on 15 August. The steady vessel flow is providing some support to future scrap availability, although buying remains requirement-driven as recyclers remain cautious amid subdued downstream demand and limited margin visibility.
Outlook
Scrap prices are expected to remain firm in the near term, supported by tighter availability, improving steel bookings, and stronger mill realisations. However, cautious procurement and uncertain downstream demand could limit the scope for a sharp price rise.
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