- Sponge iron prices surge INR 500-650/t w-o-w
- Semis, finished steel prices improve INR 200-300/t
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, increased by INR 100/tonne (t) d-o-d to INR 35,700/t DAP on 1 Aug’ 2025.Scrap prices in the Mandi region witnessed a sharp week-on-week rise of INR 130 to 230/t, supported by moderate to increased procurement levels from mills. Additionally, previously booked imported scrap consignments continue to arrive daily, bolstering market activity. As per weekly comparison, steel demand showed a slight uptick this week, with mills remaining optimistic about a positive near-term market outlook.
Imported scrap deals
Raw material prices
In Mandi Gobindgarh, sponge iron (CDRI) prices remained firm on a day-on-day basis, holding steady at INR 30,000/t DAP. On a weekly basis, prices showed a notable improvement, rising by INR 650/t in the region.
Similarly, pig iron prices in Ludhiana (Punjab) remained stable with no d-o-d change, maintaining the level of INR 36,000/t DAP. However, on a weekly basis, prices witnessed an increase of approximately INR 525/t.
This upward trend in raw material prices comes despite the slow but steady activity observed in the finished steel market. The rise in raw material costs is exerting additional pressure on steel mills, as finished steel prices continue to decline. Steel makers are thus facing a challenging margin scenario amid these contrasting market dynamics.
Steel market trends
In the Mandi Gobindgarh market, semi-finished steel prices rose by INR 250/t on a day-on-day basis, closing at INR 40,700/t DAP. On a weekly basis, prices increased by INR 215/t. Across major hubs, steel ingot prices surged by INR 100-250/t d-o-d.
Notably, the market saw a sudden surge in demand during the final trading session today, as buyers showed renewed interest after two days of muted activity. This late buying momentum indicates cautious optimism among market participants.
Rebar (Fe 500) prices in Mandi Gobindgarh remained stable on a day-on-day basis, assessed at INR 45,500/t ex-works. On a weekly basis, prices gained INR 300/t, supported by moderate activity in the finished steel segment in the region.
Overview of Mumbai market
Rebar (Fe 500) prices on the Mumbai IF route rose by INR 100/t to INR 43,600/t exw. Limited buying interest, with buyers limiting purchases to immediate requirements . Meanwhile, scrap (HMS 80:20) is trading at INR 30,700/t DAP, and the conversion spread between scrap and billet is around INR 9,500/t.
Upcoming scrap auctions
Price highlights
End-cutting-billets spread: In Mandi, the end-cutting scrap and billet spread stood at INR 4,800-5,200/t.
Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were at $338-$340/t, which equates to approximately INR 31,887/t (including freight). HMS (80:20) prices in Mumbai remained stable at INR 30,700/t DAP today. Indicative prices of shredded from Europe stood at $368/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 12,900/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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