- Total price drop INR 800/t over past few days
- Buyers remain cautious amid limited trading
Alang ship-breaking melting scrap prices decreased by INR 500/t d-o-d to INR 38,000/t ($396/t) ex-yard for HMS (80:20) on 21 September. The decline reflects weaker market sentiment, limited trading activity and subdued procurement interest from buyers.
Scrap prices in Alang have declined by INR 800/t over the past few working days, indicating cautious demand in the secondary steelmaking segment. Buyers are adopting a need-based procurement approach and limiting fresh purchases amid subdued market activity.
In Gujarat, the steel market showed mixed movement. Bhavnagar billet prices remained stable d-o-d at INR 47,400/t DAP, while Ahmedabad rebar prices increased by INR 400/t to INR 52,900/t ex-works. The divergence indicates moderate-to-good demand for finished steel, while demand for semi-finished products remained weak.
Mandi market update
In Mandi Gobindgarh, HMS (80:20) scrap prices declined by INR 200/t d-o-d to INR 38,900/t DAP on 21 September. Billet prices fell by INR 150/t to INR 47,850/t, while rebar prices decreased by INR 200/t to INR 53,100/t. The broader correction points to subdued downstream demand and cautious mill procurement, with buyers maintaining a need-based approach to inventory replenishment.
Oulook
Alang scrap prices are likely to remain under pressure over the coming trading sessions as buyers continue to adopt a need-based procurement approach. The recent INR 800/t cumulative decline indicates continued weakness in scrap demand. A sustained improvement in finished steel demand and firmer billet prices would be required to support scrap prices. Until then, buyers are likely to remain cautious and limit inventory replenishment.
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