- Mills reduce bids as scrap arrivals improve
- Steel market turns quiet, demand slows down
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, decreased by INR 100/tonne (t) d-o-d to INR 37,200/t DAP on 9 January 2026. The index remained flat w-o-w amid moderate scrap buying in the region.
On a weekly basis, the scrap market witnessed moderate buying activity; however, improved scrap arrivals from neighbouring regions prompted mills to reduce their bids. Moreover, the semi-finished and finished steel markets turned quiet after a price uptrend in the first week of January, with buyers slowing down their procurement this week, having made adequate bookings earlier.
A Mandi-based mill owner stated that sluggish market conditions led mills to reduce their steel offers, while uncertainty in the market kept buyers from making purchases at the current prices. The near-term outlook appears moderate, with Mandi ingot prices expected to fluctuate in the range of INR 42,000-43,000/t.
Alternative raw material prices
Sponge iron (CDRI) prices in Mandi Gobindgarh dipped by INR 200/t d-o-d to INR 29,300/t (DAP). Prices, however, remained stable on a w-o-w basis in the region.
However, steel-grade pig iron prices in Ludhiana rose by INR 600/t d-o-d to INR 36,600/t (DAP), while recording a w-o-w increase of INR 340/t.
Steel market dynamics
In the semi-finished steel segment, ingot prices in Mandi Gobindgarh rose by INR 100/t d-o-d to INR 42,600/t DAP, while prices across other major production hubs strengthened by INR 50-250/t over the same period. On a w-o-w basis, ingot prices in Mandi remained unchanged amid limited buying activity.
Rebar (Fe 500) prices in Mandi Gobindgarh remained stable d-o-d at INR 47,000/t, with no change observed w-o-w.
Additionally, HR strip (patra) prices also remained stable w-o-w in Mandi.
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 5,100-5,600/t
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $325-$326/t, approximately INR 31,617/t (inclusive of freight). HMS (80:20) in Mumbai remained steady d-o-d at INR 31,700/t DAP. Indicative prices of shredded from Europe stood at $353/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 16,000/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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