India: BigMint’s ferrous scrap index softens as steel market shows mixed trend

• Rebar prices fall despite demand recovery later in day
• Tight material availability limits scrap price drop

BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, eased by INR 100/tonne (t) d-o-d to INR 37,700/t DAP on 2 June 2026. Today’s Mandi steel market saw mixed activity. The first half of the trading session remained weak, but spot demand for rebars picked up in the second half. Scrap prices showed only minor fluctuations amid tight availability and a lack of imported scrap buying by local purchasers.

Alternative raw material prices

Sponge iron (CDRI) prices in Mandi Gobindgarh increased by INR 100/t d-o-d to INR 30,600/t DAP. In contrast, steel-grade pig iron prices in Ludhiana remained stable at INR 42,600/t DAP.

Steel market trends

In Mandi Gobindgarh, semi-finished steel (ingot) prices held firm d-o-d at INR 42,800/t DAP, reflecting moderate operating conditions. Elsewhere, ingot prices were mixed: some regions saw gains of INR 100-200/t, while others recorded declines of INR 100-300/t.

Rebar (Fe500) in Mandi Gobindgarh eased by INR 300/t d-o-d to INR 47,700/t ex‑works today, reflecting subdued trading volumes. HR strip (patra) remained unchanged d‑o‑d at INR 46,300/t ex‑works.

Overview of Hyderabad market

Hyderabad billet prices dropped by INR 1,300/t to INR 40,000/t, while rebar prices declined by around INR 1,000/t w-o-w amid weak demand and cautious buying sentiment. However, scrap prices corrected by only about INR 300/t, reflecting tight scrap availability and limited selling pressure. The slower decline in scrap prices compared with finished steel is squeezing mill margins and may lead to further pressure on scrap procurement prices if weak steel demand persists.

Price highlights

End-cutting to billet spread: In Mandi, the spread between end-cutting scrap and billets stood in the range of INR 4,800-5,300/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $362/t, approximately INR 36,800/t (inclusive of freight). Today, HMS (80:20) prices in Mumbai fell by INR 200/t to INR 34,100/t DAP. Indicative prices of shredded from Europe stood at $398/t-$400/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 14,400/t.