India: Stainless steel scrap prices under pressure on muted buying interest

• Mills show preference for NPI, semis
• Nickel LME 3-month contract softens to $14,810/t

India’s stainless steel scrap market remained under pressure, with buying activity remaining muted and sufficient scrap availability. Market participants were more inclined toward alternative raw materials such as nickel pig iron (NPI) as well as semi-finished products.

BigMint assessed 304-grade domestic scrap at INR 109,000/t ex-Delhi, down INR 2,000/t w-o-w, while imported 304-grade scrap from nearshore origins was assessed at $1,230/t CFR Mundra, steady w-o-w.

Market sentiments

The stainless steel scrap market remained subdued amid weak finished steel demand and the year-end slowdown. Indonesian 304 billets were reportedly traded at $1,545/t CFR West Coast, India.

Domestic SS 304 scrap was heard at INR 110,00-11,00/t DAP.

European SS 304 scrap prices were assessed at $1,170-1,200/t CIF Rotterdam. SS 304 scrap was quoted at $1,210-1,230/t CIF Japan, $1,235-1,275/t CIF South Korea, and $1,165-1,230/t CIF Taiwan.

BigMint’s scrap assessments

• Nearshore-origin SS 316 scrap (loose): $2,480/t, down $20/t w-o-w.
• Nearshore-origin SS 201 scrap (loose): $630/t, down $20/t w-o-w.
• Nearshore-origin SS 430 scrap (loose): $560/t, up $5/t w-o-w.
• SS 316 scrap ex-Delhi: INR 210,000/t, down by INR 4,000/t w-o-w.
• SS utensil ex-Delhi: INR 60,000/t, steady w-o-w.

LME nickel

Nickel prices on the London Metal Exchange (LME) dropped slightly, with the three-month contract at $14,810/t, slightly down by 2% versus $15,038/t last week. LME-registered nickel stocks stood at 251,970 t as against 253,104 t in the previous week.

Outlook

In the near term, market sentiment is expected to remain cautious, with participants anticipating further price correction in both the finished stainless steel and scrap segments.