- Sponge prices dip by INR 100/t d-o-d
- Finished steel prices decrease by INR 400-500/t
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, fell by INR 400/tonne (t) d-o-d to INR 41,500/t DAP on 23 Sept 2026 due to muted buying interest and weakening demand for finished steel. Scrap prices in the region declined by up to INR 400/t today across grades.
Mandi Gobindgarh, a key price benchmark for the secondary steel market, witnessed softer scrap buying today as demand weakened across semi-finished and finished steel segments. Prices in the local market fell by around INR 200-300/t in today’s trading session, prompting buyers to stay cautious and wait for further correction amid subdued end-user demand.
A mill owner informed BigMint: “In Mandi, mills are currently limiting their scrap procurement margins, primarily due to an oversupply of scrap arriving from neighbouring states. In addition, mills have reduced their buying capacity by approximately 50-60%. This combination of weaker demand and higher arrivals has put downward pressure on scrap prices, leaving local scrap suppliers under significant strain.”
Raw materials
Sponge iron (CDRI) prices in Mandi dipped by INR 100/t d-o-d to INR 33,900/t DAP mills buying remained limited as scrap inflow was surplus in the region. Steel-grade pig iron prices in Ludhiana increased by INR 100/t d-o-d to INR 43,300/t DAP.
Steel market trends
Ingot prices in Mandi Gobindgarh softened by INR 500/t d-o-d to INR 46,850/t DAP, while other major production centres reported declines of INR 100-500/t. Rebar (Fe500) prices in Mandi Gobindgarh dipped by INR 500/t to INR 52,200/t ex-works, while HR strip (patra) prices weakened by INR 400/t d-o-d to INR 50,900/t ex-works.
Auction result
In a recent auction conducted by the Nagpur zone of the Indian Railways, approximately 400-500 tonnes of rail-cutting scrap were booked at INR 38,000/tonne, ex-works Nagpur, Maharashtra.
Price highlights
End-cutting to billet spread: In Mandi, the spread between end-cutting scrap and billets stood in the range of INR 5,200-5,600/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $375/t, approximately INR 38,200/t (inclusive of freight). HMS (80:20) prices in Mumbai remained stable d-o-d at INR 36,500/t DAP. Indicative prices of shredded from Europe stood at $414/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 15,800/t.
To see BigMint’s melting scrap assessment, pricing methodology and specification documents, click here
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