India: BigMint’s scrap index remains stable amid cautious market sentiment

• Sponge iron prices remain steady d-o-d
• Finished steel prices improve slightly

BigMint’s domestic end-cutting scrap index for the Mandi Gobindgarh market held firm d-o-d at INR 37,000/tonne (t) DAP on 20 May 2025, reflecting a stable demand-supply balance amid muted trades.

A mill owner informed BigMint,”Steel prices in Mandi Gobindgarh remained mostly unchanged today, with limited trading due to weak buying sentiment. Market activity was quieter than usual as buyers held back, waiting for more demand signs to emerge. Local traders and manufacturers anticipate that prices for steel ingots and billets will stay within a narrow range of INR 42,200 to 42,800/t in the short term.

Raw material prices

Sponge iron (CDRI) prices in Mandi remained stable at INR 30,400/t, while in Ludhiana, steel-grade pig iron saw a marginal improvement of INR 100/t, settling at INR 35,900/t DAP.

Steel market trends

In Mandi Gobindgarh, steel ingot prices remained stable d-o-d at INR 42,500/t DAP. Semi-finished steel prices in other major markets improved slightly by INR 100-150/t.

Rebar prices in Mandi increased by INR 100/t to INR 47,600/t exw. HR strip (patra) prices remained unchanged d-o-d at INR 44,300/t exw.

Overview of Jalna market

Jalna’s steel market continues to show stability, with billet, rebar and HMS 80:20 prices remaining steady at INR 42,300/t, INR 48,000/t and INR 32,700/t, respectively. Scrap inflows to mills are well-aligned with production requirements, reinforcing stable supply dynamics at existing price points.

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Price highlights

End-cutting-billets spread: In Mandi, the end-cutting scrap and billet spread stood at INR 5,400-5,800/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were at $345-$350/t, which equates to approximately INR 32,151/t (including freight). Today, local HMS (80:20) prices in Mumbai remained steady at INR 32,500/t DAP. Indicative prices of shredded from Europe stood at $365-$370/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 15,650/t.

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