Indian Exporters seek Mill Scale at INR 5,200/MT at Kandla Port

Indian Mill Scale exporters have cut purchase prices in domestic market by INR 200-300/MT.

Indian exporters are seeking Mill Scale at around INR 5,200/MT (basic prices) delivered Kandla port, down by INR 200-300/MT in last few days, owing to sharp fall in Chinese spot market. Mill Scale prices are at USD 121/MT CFR China (in bulk) in Chinese market. 

Indian Mill Scale exports stood at 130,000 MT in the month Mar’14, out of which 46,000 MT was shipped from Kandla port followed by Chennai, Vizag & Haldia port.

Another Indian exporter reported to have bought small quantities of 70/68% Mill Scale at INR 5,450-5,500/MT delivered Vizag port. It to be noted that in this port, vessel freight and port handling charges are lower as compared to Kandla port.

Mill Scale is a by-product generated during re-rolling process and generally used by Pellet manufacturers and Blast Furnace operators. Indian Mill Scale export has increased recently, as it is duty free and without differential freight charges, unlike Iron ore.