India: Bhavnagar Ship Breaking Scrap Prices up by 10.5%

Limited production of Ship Breaking Scrap has pushed the prices up. In line, other Steel prices such as Ingot and Re-bar are also increased.

Ship Breaking Scrap which is used as basic raw material in Gujarat witnessed sharp price hike by 10.5% M-o-M basis. The prices increased up to INR 2,600/MT from previous month closing. Prices showed continuously improvement, as market participant expected (also mentioned in our previous news). In last week (18 Nov, 2013 to 23 Nov, 2013) prices improved up to INR 1,250/MT and this week, prices again jumped to the same level.

Finish Steel Long Manufacturer based in Gujarat says, “demand in Finish steel is average but low availability of raw material resulted in price hike.”

This week MS Ingot prices move up by INR 600/MT and Re-bar up by INR 700/MT.

Other major Scrap market price also remain high, Raipur is up by INR 300-500/MT, Mumbai & Jalna by INR 400-500/MT, Hyderabad prices up by INR 400/MT W-o-W. Mandi Gobindgarh’s Scrap prices increase by INR 600-800/MT.

North India trader believe if finish steel sale improve, and sponge price remain firm, we may see another hike of INR 300-400/MT however for short term.