Imported scrap offers consistently move down due to low buying interest from Indian domestic players over weak Indian rupees weak US Dollar. According to importers offers for HMS 1&2 (80:20) from Africa are at around $330/MT on High Sea Sales (HSS) basis and 20,500 Rs/MT CFR kandla (including 2.5% import duty and 1% landing charge).
However export offers from European and American sellers are still high owing to strong demand from Turkey and their domestic market. Offers from EU/US are in the range of $380/MT CFR for shredded scrap and around $360/t CFR Indian port. Unfortunately no trade has been heard done in last few weeks on high disparity.
Mainly India imports scrap from UK, US, UAE, South Africa. In June'13 the total quantity of imported scrap is down by 20 – 30% M-o-M and at present there is no hope of improvement.
Currently a vessel of over 32,000 tonnes of shredded scrap in expected on Chennai port, however receiver name is still not declared with port authorities.
The demand of imported scrap is directly proportional on demand of ingot there is low buying interest from ingot manufacture has force fully to cut their scrap prices. On the other side the domestic price of scrap is cheaper than the imported material have also discourage to importers. The time duration of imported scrap arrive to India takes 20 – 25 days instead of that domestic scrap is easily available in the market.
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