- Scrap index holds steady despite supply tightness
- Sponge iron consumption rises as mills face scrap shortage
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, remained unchanged day-on-day and week-on-week at INR 38,000/t DAP on 19 June 2026. The market stayed largely balanced as tight scrap availability and logistics-related constraints supported prices, while weakness in the downstream steel segment capped any upward movement.
Limited scrap availability encouraged higher sponge iron consumption among secondary steel producers in Mandi Gobindgarh. However, overall procurement remained cautious as finished steel demand continued to underperform. Imported scrap buying also remained subdued, with mills preferring domestic material due to its cost advantage and persistent bid-offer mismatches in the import market.
Raw-material, steel market trends
Sponge iron(CDRI) prices in Mandi were stable d-o-d at INR 30,000/t DAP but declined INR 380/t w-o-w. Meanwhile, steel-grade pig iron prices in Ludhiana remained unchanged at INR 41,500/t DAP, down INR 150/t from the previous week amid limited buying interest.
Weakness in the semi-finished and finished steel segments continued to weigh on market sentiment. Ingot prices in Mandi Gobindgarh fell INR 100/t d-o-d to INR 42,900/t and were also down INR 100/t w-o-w. Rebar prices remained unchanged at INR 47,600/t ex-works compared with the previous day but eased INR 230/t from a week earlier, reflecting sluggish construction demand and cautious restocking.
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 4,700-5,200/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $345/t, approximately INR 34,850/t (inclusive of freight). Today, HMS (80:20) prices in Mumbai fell by INR 50/t to INR 33,200/t DAP. Indicative prices of shredded from Europe stood at $386/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 14,800/t.
To see BigMint’s melting scrap assessment, pricing methodology and specification documents, click here
To provide feedback on this index or if you would like to contribute by becoming a data partner, please contact – support@bigmint.co
Leave a Reply