Ferrous Scrap Imports to India Rise by 5% in July’15

Arrival of a handful of bulk vessels were reported this July. Ludhiana ICD recorded the highest scrap import.

Indian ferrous scrap market witnessed a slight rise of 5% in July’15 import. Scrap import which was 4,81,000 MT in June’15, raised to 5,06,400 MT in July’15.

Though, Indian importers resisted from making fresh bookings in July’15 (owing to applied PSIC norms that came in effect from 1 July’15), handful of bulk vessels were seen to have arrived this July’15.

Participants had purposefully booked the bulk shipments during May-June, so as to stock scrap for upcoming months (till the time, equipments/ infrastructures are developed as per the standards) and to evade from strignent import norms, that would apply from 1 July’15.

Statistics- July’15

Looking at the import numbers, SteelMint assessed, USA was the highest scrap exporter to India this July, with total 92,800 MT imports, including a bulk shipment of 36,000 MT at Vishakhapatnam Port; the list was followed by UAE and South Africa.

Australia also emerged as one of the highest scrap supplying country to India, recording a bulk shipment of 21,000 MT at Mundra Port. Whereas among Indian ports, Ludhiana ICD recorded the highest scrap import, with three bulk consignments from UAE, South Africa and UK, which was followed by Chennai and Vishakhapatnam ports.

Scrap Offers as on Week 33 (10 Aug-16 Aug)

Indian scrap market is currently stable. Participants are anticipating a rise of USD 5-10/MT in a week’s time. One of the importer shared, “We have started getting increased offers of USD 225-230/MT for HMS 80:20, CFR Nhava Sheva, whilst for shredded at USD 250-255/MT levels.”

Currently, the suppliers are confident about the offer price at USD 225/MT (HMS 1&2) and USD 245-250/MT (shredded).

Looking at the positive sentiments across India, it seems manufacturers certainly need to drive a hard bargain for purchasing imported scrap.

For detailed Scrap Import reports (click here)