India: BigMint’s ferrous scrap index falls by INR 500/t d-o-d

• Sponge iron prices remains unchanged d-o-d
• Semis, finished steel falls by INR 400-500/t d-o-d

BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, decreased by INR 500/tonne (t) d-o-d to INR 37,800/t DAP on 3 Jan 2026.

The overall Mandi Gobindgarh steel market-from scrap to finished products-remained subdued, pausing the continuous uptrend from last week as buyers adopted a cautious wait-and-watch approach amid near-term uncertainty.

Raw material

Sponge iron prices in Mandi remained stable d-o-d at INR 29,800/t DAP, while steel grade pig iron prices in Ludhiana declined by INR 150/t d-o-d to INR 39,150/t DAP.

Steel market

Steel market sentiment remained bearish, with semi-finished steel prices in Mandi Gobindgarh falling INR 500/t day-on-day to INR 43,000/t DAP, while ingot prices across major hubs declined INR 400–1,100/t, Raigarh registering the steepest single-day drop of INR 1,100/t.
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Rebar (Fe 500) in Mandi Gobindgarh eased INR 400/t d-o-d to INR 47,800/t ex-works amid subdued buying across trading sessions.
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HR strip (patra) prices also softened by INR 500/t to INR 44,400/t ex-works in Mandi Gobindgarh.

Overview of Alang scrap market

In Alang, Gujarat, ship-breaking scrap prices declined by INR 1,200/t d-o-d to INR 33,000/t exy for HMS (80:20) per BigMint’s 5 Jan’26 assessment, as weaker semis and finished steel trade, combined with tepid enquiries at elevated levels, led suppliers to lower quotes to spur activity.

Upcoming scrap auctions

Price highlights

End-cutting to billet spread: In Mandi, the spread between end-cutting scrap and billets stood in the range of INR 5,000-5,200/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $325-326/t, approximately INR 31,635/t (inclusive of freight). HMS (80:20) in Mumbai slides by INR 100/t d-o-d to INR 31,700/t DAP. Indicative prices of shredded from Europe stood at $355/t CFR Nhava Sheva.

Raipur sponge iron-billet spread: The conversion spread (margin) between pellet-based DRI (P-DRI) and steel billets in Raipur stood at INR 15,900/t.

To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.

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