- Sponge iron prices decline by INR 100/t d-o-d
- Semis, finished prices decrease by INR 200/t
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, declined by INR 200/tonne (t) d-o-d to INR 34,500/t DAP on 30 September 2025. Mills limited their scrap purchases due to tepid demand in the finished steel segment. This sluggish market movement pressured scrap suppliers in Mandi to cut their offers.
Raw materials
In Mandi Gobindgarh, sponge iron (CDRI) prices declined by INR 100/t d-o-d, settling at INR 30,200/t DAP. The drop was driven by subdued buying interest and cautious sentiment among secondary steel producers. Meanwhile, smoother scrap arrivals from neighbouring states, aided by eased GST checks, also influenced the market.
Conversely, steel-grade pig iron prices in Ludhiana increased by INR 150/t to INR 35,150/t DAP.
Steel market
A bearish trend persisted in the domestic steel market today, particularly in the semi-finished segment. Mandi Gobindgarh reported a d-o-d drop of INR 200/t in semi-finished steel prices to INR 39,700/t DAP, indicating weak buying activity.
Ingot prices followed suit, with declines ranging within INR 100-350/t. Raigarh registered the sharpest fall at INR 300/t today, amounting to a cumulative INR 650/t drop in the previous two sessions.
The rebar market also faced downward pressure, with Fe 500 prices in Mandi Gobindgarh decreasing by INR 200/t d-o-d to INR 44,100/t exw. Mills, facing sluggish demand and low inquiries, were forced to cut offers further.
In the HR strip (patra) market, prices declined by INR 200/t d-o-d to INR 41,600/t exw. Buyer participation remained limited amid expectations of continued correction. Prices have now fallen back to a two-week low in the region.
Overview of Alang market
Scrap prices in Alang saw another dip of INR 200/t d-o-d on 30 September. BigMint assessed HMS (80:20) at INR 30,500/t ex-yard. Despite a marginal fall in semi-finished steel prices yesterday, trade activity stayed limited. Market participants cited tight cash flow and muted buying interest as reasons behind today’s reduced offers.
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 4,900-5,200/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $328/t, approximately INR 31,334/t (inclusive of freight). HMS (80:20) prices in Mumbai remained stable at INR 30,700/t DAP today. Indicative prices for shredded from Europe stood at $358/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 12,050/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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