- Domestic 304 scrap prices rise INR 1,000/t w-o-w
- Imported scrap offers increase amid supply constraints
- PSIC compliance raises import costs for suppliers
India’s stainless steel scrap prices remained firm in the week ended 11 September 2026, supported by tight availability, particularly for 316-grade scrap, steady alloy costs and fluctuations in nickel prices. Mills remained active in the import market, although firm offers and higher compliance costs continued to limit availability.
Domestic 304-grade stainless steel scrap prices increased by INR 1,000/t w-o-w to INR 151,000/t DAP Delhi. Imported 304 scrap prices rose by $10/t w-o-w to $1,560/t CFR Mundra.
Domestic 316-grade scrap prices remained unchanged w-o-w at INR 295,000/t DAP Delhi, while imported 316 scrap prices increased by $10/t w-o-w to $3,060/t CFR Mundra.
Imported scrap availability remained constrained by geopolitical and logistical challenges, including revised pre-shipment inspection certificate (PSIC) requirements. The revised process, including same-day inspection and documentation requirements, has caused delays in loading activity and increased compliance costs for suppliers from non-exempt countries.
A South Korean supplier said the PSIC process remains a key challenge. Although compliance issues have been resolved, inspection costs are estimated at around $140-150/container. With only a few agencies currently handling inspections, limited competition has added to the cost burden. The Korean won has appreciated by around 12% from its recent low, while higher seafreight rates are adding further pressure on exporters’ margins.
Nickel prices ease
London Metal Exchange (LME) three-month nickel prices declined by around 1% w-o-w to $16,760/t in the week ended 10 September, compared with $16,842/t a week earlier. At the time of reporting, nickel prices were around $16,425/t.
LME nickel inventories stood at around 271,500 t on 10 September, marginally higher than 270,768 t on 4 September.
Outlook
India’s stainless steel scrap market is expected to remain firm but cautious in the coming weeks, supported by tight availability and elevated replacement costs. However, mills are monitoring the availability of billets and nickel pig iron (NPI), as increased supplies of alternative raw materials could affect scrap procurement and limit further price gains.
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