SteelMint’s price assessment of Indian 304 grade stainless steel scrap is at INR 135,000/t ($1,688/t) ex-Delhi on 23 Aug, unchanged w-o-w. The price of 304 grade HRC ex-Mumbai, on the other hand, remained stable at around INR 236,000/t ($2,950/t).
Indian mills’ offers in the domestic stainless steel scrap market were stable amid supply shortage. It is also evident that India’s stainless steel imports have decreased 66% in July as compared to January 2022. The country has been a net importer of stainless steel scrap due to low domestic generation.
Despite volatile LME nickel prices, finished stainless steel prices in India were flat due to firm downstream demand.
Weak macro economic sentiment about China is still prevalent and base metals are under pressure.
Ferro chrome prices trend lower
Indian ferro chrome (HC60%) prices remained range bound this week owing to muted demand. Producers kept offers firm due to limited inquiries in the domestic market. Most buyers were not in a hurry to conclude deals as they were waiting for Vedanta’s ferro chrome auction. Prices were assessed at around INR 94,500/t exw-Jajpur on 18 August.
Outlook
The downtrend in ferro chrome and nickel prices will support stainless steel demand in the coming months. However, market participants are cautiously optimistic due to the upcoming festive season.
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