Domestic 304-grade stainless steel scrap prices increased to INR 140,000/t ($1,694/t) ex-Delhi today, according to SteelMint data. The ex-Mumbai price of 304-grade stainless steel HRCs remains stable at INR 247,000/t ($2,989/t). Stainless steel prices rose as Ni LME price has increased.
At the time of publishing this article, LME’s 3-month nickel prices rose to around $29,700/t.
Highlights from the market
As a result of the increased Ni LME, sellers are quoting higher prices. Prices for 304-grade scrap for European-origin cargo range from $1,590/t to $1,630/t, depending on the quality and quantity of the lot. Domestic stainless steel scrap offers were competitive. Prices increased by INR 4,000/t y-o-y, but buyers were mostly on the sidelines due to the uncertainty.
Despite a price increase by a major north Indian producer, finished prices of 304-grade stainless steel, HRCs, and CRCs remained stable. “One of the major producers has increased its 304-grade prices by INR 5,000/t and its 316-grade prices by INR 13,000/t, but sales are very poor due to subdued market demand,” a Mumbai-based trader said.
Trends in ferro chrome
According to SteelMint, ferro chrome producers were offering around INR 94,500-95,000/t ex-Jajpur this week, down by around INR 1,800/t w-o-w due to weak demand from both domestic and export markets, particularly China, as Covid cases have spread. Lower ferro chrome prices resulted from lower participation in Vedanta’s ferro chrome auction on 6 December, which had an H1 price of INR 94,600/t.
Outlook
Prices of stainless steel scrap appear to be stable with improvements in Ni LME levels. Overseas scrap prices also received strong support. However, the finished market is witnessing a subdued demand.
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