Indian Rupee falls to 2 month low and prices falling consistently from past 4-5 days. In a week’s time, it fell by 1.67 per unit against USD.
Falling rupee has made imports of Scrap expensive. At present, offer from Middle East is at USD 370-375/MT and import from Europe & US is limited owing to high cost. By observing the overall scenario, if rupee falls more in coming days then buyers have to move for domestic Scrap.
A native trader based at Mumbai says, “In a month’s time, imported Scrap offers up by USD 5-10/MT. Meanwhile, weaken INR against USD put an additional pressure on buyers and forced them to refuse the booking of imported material.”
Offers in Mumbai improved by INR 500/MT to about INR 25,100-25,500/MT. While in Ludhiana & Bhiwadi prices hike by INR 500-700/MT.
On the other hand, Alang’s ship breaking Scrap offers reduced sharply. In a week, prices declined up to INR 900/MT because of increased supply of the material and stable demand.
A well known Jalna based Scrap trader shared that the probability of downfall in domestic Scrap prices is limited.
Indian Scrap Offers for HMS 80:20
| Particular |
Price (Basic) |
W-o-W |
M-o-M |
| Mandi Gobindgarh | 24,900 |
– 200 |
+ 800 |
| Ludhiana | 26,400 |
+ 700 |
+ 800 |
| Durgapur | 24,700 |
0 |
+ 200 |
| Raipur | 23,700 |
0 |
+ 600 |
| Bhiwadi | 23,600 |
+ 550 |
+ 500 |
| Alang | 25,500 |
– 700 |
– 200 |
| Jalna | 25,200 |
0 |
+ 900 |
| Mumbai | 25,100 |
+ 500 |
+ 1,300 |
| Hyderabad | 23,800 |
– 100 |
+ 500 |
| Chennai | 24,000 |
+ 200 |
+ 400 |
| Prices in INR/MT, Excise duty @12.36%; VAT as applicable | |||
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