- Finished steel prices ease despite largely stable feedstock costs
- Secondary mills remain cautious as GST checks curb buying
BigMint’s domestic end-cutting scrap index for Mandi Gobindgarh declined by INR 200/t d-o-d to INR 38,300/t DAP on 28 January 2026, extending the recent downtrend. Over the past few sessions, scrap prices in the region corrected by INR 700-1,000/t, pressured by excessive arrivals of domestic scrap.
Market activity in Mandi Gobindgarh remained cautious today as surplus material inflows triggered fresh GST inspections, disrupting trade flows and restricting spot buying. While primary mills have recently raised finished steel prices, secondary producers stayed guarded, awaiting clearer demand signals before rebuilding scrap inventories.
Raw materials
Steelmaking raw material prices were largely unchanged across northern India. Sponge iron (CDRI) prices in Mandi Gobindgarh remained steady at INR 30,500/t DAP, while steel-grade pig iron in Ludhiana held firm at INR 40,300/t DAP, offering cost stability to induction furnace operators.
Steel market trends
Semi-finished steel prices in Mandi Gobindgarh stayed flat d-o-d at INR 44,400/t DAP during the reporting window. However, ingot prices across other major hubs slipped by INR 100-500/t, with Ahmedabad witnessing the sharpest correction of around INR 500/t. Rebar (Fe500) prices in Mandi eased by INR 200/t to INR 49,000/t ex-works, reflecting muted buying interest.
Overview of Durgapur market
In eastern India, Durgapur reported mild declines, with billet prices down INR 50/t to INR 40,700/t and rebar prices lower by INR 100/t at INR 44,000/t. HMS (80:20) prices also fell by INR 200/t to INR 34,100/t. Although scrap availability is slightly tight, weak finished steel demand forced mills to reduce scrap bids, while sellers continue to hold material in anticipation of a rebound.
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 5,800-6,200/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $337/t, approximately INR 33,300/t (inclusive of freight). HMS (80:20) prices in Mumbai remained stable d-o-d at INR 32,300/t DAP. Indicative prices of shredded from Europe stood at $$362-$364/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 15,400/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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