India: BigMint’s scrap index declines by INR 100/t d-o-d amid range-bound steel prices

• Sponge iron prices dip by INR 100/t
• Finished steel prices remain steady

BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, declined slightly by INR 100/tonne (t) d-o-d to INR 36,100/t DAP on 19 February 2025.

A mill owner informed, “In the Mandi steel market, only minimal price fluctuations were observed this week across the semi-finished, finished steel, and scrap. Mills expect the market to remain range-bound in the near term, with no significant price movements expected. Ingot prices are likely to remain within INR 41,800-42,500/t DAP.”

Raw material price updates

In Mandi, sponge iron (CDRI) prices dropped by INR 100/t d-o-d to INR 30,500/t DAP. In Ludhiana, steel-grade pig iron tags rose by INR 300/t d-o-d to INR 37,000/t DAP, driven by supply issues and price hikes from suppliers over the past three days.

Steel market overview

In Mandi Gobindgarh, steel ingot prices saw a minor decline of INR 100/t d-o-d to INR 42,000/t DAP, while semi-finished tags in major markets decreased by INR 100-200/t compared to the previous day.

Rebar (Fe 500) prices in the region held steady d-o-d at INR 46,700/t exw.

Overview of other markets

As per BigMint’s assessment, ship-breaking melting scrap prices in Gujarat’s Alang market rose by INR 200/t d-o-d on 19 February 2025, with HMS (80:20) at INR 32,700/t exy. This increase follows a jump in semi-finished steel prices by INR 300/t d-o-d during the previous trading day. An uptick in inquiries for scrap further pushed suppliers to raise their offers today.

Price highlights

End-cutting-billets spread: In Mandi, the end-cutting scrap and billet spread stood at INR 5,600-5,900/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were at $350-355/t, which equates to approximately INR 33,039/t (including freight). Local HMS (80:20) prices in Mumbai remained stable d-o-d at INR 32,500/t DAP. Indicative prices of shredded from Europe stood at $375-$380/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 14,650/t.

To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.