Limited Ship breaking scrap in Bhavnagar has pushed the prices up. Other Steel prices such as Ingot and Re-bar also increased.
Ship Breaking Scrap, which is used as a basic raw material in Gujarat, witnessed a sharp price hike of INR 600/MT on W-o-W basis. A good demand from manufacturers in north India and lower arrival of ships for breaking are the main reasons for this hike. As per sources, prices may increase further by INR 500-700/MT whereas scope for any downside is limited.
[su_quote]“The purchase price of scrap ship also increased by $ 10-15/MT. Ship breakers avoided bookings owing to higher charges and low material off take. This created present shortage” said a Ship Breaker based in the region.[/su_quote]
| Particular | Price (INR/MT) | Previous Change | W-o-W Change | M-o-M Change |
| Ship Breaking (Alang) | 25,400 | +600 | +1300 | +850 |
| MS Ingot (Ahmedabad) | 32,600 | +600 | +1750 | +2200 |
| MS Billet (Ahmedabad) | 32,800 | +700 | +1600 | +2200 |
| Re-Bar (12MM) (Ahmedabad) | 35,500 | +500 | +1500 | +1800 |
Note: Basic Price, ED & Taxes Extra.
Semi Finish prices increased on average by INR 1,700/MT this week as compared to last week’s trade. Lower imported scrap, high sponge price (delivered in North region) and improved demand in Finish Long sales are the main reasons for this hike.
[su_note]Re-bar Manufacturer based in Gujarat says, “Yesterday we have booked sales of 700 MT in the evening which shows a strong demand from retailer and stockiest. Higher input cost will support the price and scrap shortage will lead to lower production.”[/su_note]
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