Imported offers from Middle East touch USD 310-312/MT levels CIF Nhava Sheva, Mumbai, to match the price point with other Scrap suppliers.
Middle East is one of the largest suppliers of Ferrous Scrap to Indian market and contributed around 24% of total Scrap imports in FY14.
A Scrap exporter based in Middle East mentioned that he is offering HMS 1&2 at USD 311/MT CIF Nhava Sheva. Whereas, an Induction furnace based in Wada (Mumbai) reported to have bought cargo from Middle East at USD 310/MT CIF Mumbai. Offers have fallen by around USD 10/ MT in a week’s time. Trade was settled at around USD 320/MT CIF Nhava Sheva in last week.
A finished Long manufacturer while taking to SteelMint shared, “Why will we book HMS at USD 310-315/MT CFR WCI levels, if we are getting ready material available in port at around USD 320/MT CFR WCI with our terms & conditions.”
Offers from Europe are assessed at USD 310/MT for HMS 1&2. While, Shredded Scrap is hovering in the range of USD 325-330/MT CIF Nhava Sheva.
Falling Indian Rupee a Concern
Indian currency has fallen by 40 paise against USD in last one week and currently trading at 61.8/USD. Experts believe that strong dollar may further build pressure on Rupee.
| Particulars | Category | Origin/Delivery | Offers |
| Imported | HMS 1&2 | Middle East CIF Mumbai | USD 310-315/MT |
| Shredded | Europe, CIF Mumbai | USD 325-330/MT | |
| Domestic | HMS 1&2 | ex-Mumbai | INR 22,400/MT |
| Sponge iron | ex-Raipur | INR 20,600/MT | |
| Billet | ex-Mumbai | INR 30,000/MT |
Exchange rate USD 1 = INR 61.8
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