- Gujarat scrap buyers hold 10-15 days of inventory
- Mills continue need-based scrap procurement
Alang’s ship-breaking melting scrap prices (HMS 80:20) declined by INR 500/tonne (t) day-on-day (d-o-d) to INR 37,500/t ($388/t) ex-yard on 10 October 2026. The correction reflects continued weakness in downstream steel markets, which has weighed on buyers’ procurement appetite. Market participants remained cautious, with purchasing largely driven by immediate requirements rather than inventory building.
Gujarat market update
In Gujarat, billet prices at Bhavnagar fell by INR 500/t d-o-d to INR 47,000/t DAP, while rebar prices in Ahmedabad declined by INR 400/t to INR 52,900/t ex-works. The correction in steel prices, coupled with buyers holding scrap inventory sufficient for 10-15 days, has reduced the urgency for fresh scrap procurement.
Mandi market update
In Mandi Gobindgarh, billet prices declined by INR 300/t d-o-d to INR 47,900/t DAP. HMS scrap prices also fell by INR 300/t to INR 38,900/t DAP, while rebar prices remained stable at INR 53,500/t ex-works.
The decline in billet and scrap prices indicates continued weakness in the secondary steel market. However, stable rebar prices suggest that finished steel realisations have held up better than semi-finished steel and raw materials. With buying interest remaining cautious, scrap demand is likely to stay dependent on mills’ immediate consumption requirements.
Outlook
Alang’s ship-breaking scrap prices are likely to remain under pressure as weakness in regional steel markets weighs on buying interest. Further price movements will depend on billet and rebar trends, mill procurement activity and the extent to which buyers and sellers adjust their price expectations amid subdued market sentiment.
Leave a Reply