Limited availability holds Scrap prices. Demand likely to show some improvement.
Bhavnagar ship breaking scrap prices moves up slightly by INR 200-300/MT. 4 Ane offers stand at INR 24,400/MT after increasing by INR 200/MT. Prices increased because of material shortage. Ship breaking Scrap availability went down when demand from furnaces lowered. Presently ship breaking Scrap availability has dropped down to 50-60%.
Scrap offers in Maharashtra remains unchanged as material availability is limited. Because of ongoing strike at JNPT and high Dollar value against Rupee imported Scrap is not available. Today HMS 80:20 offers are at 22,100-22,200/MT.
North Indian market shows stability. Ghaziabad based buyers are trying to pull down prices but offers remained stable on limited availability. However, Mandi Gobindgarh’s prices fluctuated in the range of INR 100-200/MT. Today prices registered a marginal drop of INR 100/MT. Manufacturers reduced their production level because of poor finish steel buying in the market. This in turn resulted in price fall of semi finish as well as Scrap.
Market players are not expecting much correction in prices as shortage of the material hits various parts of India. “Possibly market will show some improvement in coming weeks” says a native trader based at Mandi Gobindgarh.
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