India: Imported stainless steel scrap offers inch up on strengthening USD

• 304 domestic scrap prices rise INR 1,000/t 
• LME nickel edges down slightly w-o-w

India’s domestic and imported stainless steel (SS) scrap prices inched higher this week, mainly due to the weakening of the Indian rupee against the US dollar. BigMint assessed 304-grade domestic scrap at INR 115,000/t ex-Delhi, up by INR 1,000/t w-o-w, while imported 304-grade from nearshore origins was assessed at $1,295/t CFR Mundra, up $5/t.

Domestic scrap availability remained moderate, with mills buying selectively for immediate production needs, while secondary buyers focused on need-based purchases. Imported scrap saw a small increase mostly driven by currency fluctuations rather than a surge in demand.

A trader noted, “Sentiments remain weak on the demand side, and buyers are seeking nearshore material to hedge against dollar volatility and price fluctuations.”

Another market participant added, “Demand for scrap is moderate, dollar pressure persists, and arrival of competitive billet prices are keeping scrap demand in check.”

BigMint’s scrap assessments

• Nearshore-origin SS 316 scrap (loose): $2,500/t, steady w-o-w.
• Nearshore-origin SS 201 scrap (loose): $670/t, up by $10/t w-o-w.
• Nearshore-origin SS 430 scrap (loose): $600/t, unchanged w-o-w.
• SS 316 scrap ex-Delhi: INR 218,000/t, up by INR 1,000/t w-o-w.
• SS utensil ex-Delhi: INR 60,000/t, up by INR 1,000/t w-o-w.

LME nickel remains rangebound

Nickel prices on the London Metal Exchange (LME) edged down, with the three-month contract at $15,110/t, down by $169/t versus $15,279/t last week. LME-registered nickel stocks edged up slightly to 231,504 as against 230,586 t in the previous week.

Outlook

Scrap prices are likely to remain rangebound supported by a stronger US dollar and prospects of improved downstream demand ahead of the upcoming festive season.