- Sponge iron prices increase by INR 200/t d-o-d
- Semis, finished tags surge INR 500-600/t d-o-d
BigMint’s domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, rose by INR 800/tonne (t) d-o-d to INR 38,200/t DAP on 24 March 2025. The market saw some improved trading activity in all steel segments from yesterday evening. Moreover, spot demand also improved amid active trading.
Scrap prices in the region rose by INR 600-800/t d-o-d today. Additionally, on a w-o-w basis, semi-finished and finished steel prices climbed up by INR 1,450-1,500/t in the region.
A mill owner informed BigMint, “In Mandi, ingot and billet prices are expected to hit INR 44,000/t soon, and following that, a slight dip can be expected in the near term, with tags potentially ranging within INR 43,000-44,000/t. However, if demand continues to support the market, we could see the INR 44,000/t mark being surpassed.”
Last Saturday, there was a robust recovery in prices. In the first half, ingots were trading at INR 43,200-43,300/t in Mandi, but in the second half, a surge in buyer inquiries pushed tags up by a further INR 200/t, to INR 43,500/t.
Another mill owner noted, “Liquidity concerns are still present in the market, as most mills are not offering credit due to the fiscal year-end closing. Additionally, most major mills, particularly those focused on patra production, continue to operate at full capacity.”
Raw material prices
Sponge iron (CDRI) prices in Mandi increased by INR 200/t d-o-d to INR 31,900/t DAP. On a w-o-w basis, prices jumped by INR 700/t in the region.
Steel-grade pig iron prices in Ludhiana moved up by INR 350/t d-o-d to INR 39,750/t DAP. W-o-w, there was a hike of INR 950/t.
Steel market overview
Steel ingot prices in Mandi Gobindgarh increased by INR 600/t d-o-d to INR 43,800/t DAP. Meanwhile, semi-finished steel prices in other key markets increased by INR 200-700/t d-o-d. The Muzaffarnagar steel market experienced a significant d-o-d increase of INR 700/t in ingot prices.
Rebar (Fe 500) prices in Mandi Gobindgarh surged by INR 500/t d-o-d to INR 48,500/t exw. A major hike was observed in the Jaipur and Delhi markets, where rebar prices increased by INR 1,000/t d-o-d, driven by strong demand in the market.
Overview of Jalna steel market
In the western India-based Jalna market, billet and HMS 80:20 prices remained stable d-o-d, with billets assessed at INR 43,100/t and HMS 80:20 at INR 32,800/t. Rebar prices, however, saw a d-o-d increase of INR 300/t, to INR 49,500/t. The semi-finished and finished steel sectors witnessed a surge in trade activity, indicating a positive shift in market dynamics. However, scrap supply to mills was slightly slower due to the ongoing Ramadan festival.
Price highlights
End-cutting-billets spread: In Mandi, the end-cutting scrap and billet spread stood at INR 5,600-5,800/t.
Domestic vs. imported scrap: Imported melting scrap prices at Nhava Sheva Port were at $358-360/t, which equates to approximately INR 33,009/t (including freight). Today, local HMS (80:20) prices in Mumbai increased by INR 100/t d-o-d to INR 32,900/t DAP. Indicative prices of shredded from Europe stood at $384-385/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 15,300/t.
To check BigMint’s melting scrap assessment, pricing methodology, and specification documents, click here.
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