- SS scrap prices rise on alloy costs, steady demand
- LME nickel dips 1%, inventories up 3%
India’s stainless steel (SS) scrap market edged higher w-o-w on improved buying interest coupled with rising raw material costs, firmer ferro-molybdenum and chrome prices, and stronger-than-expected finished steel demand. Global stainless steel producers have also raised bids or increased surcharges, signalling surge in momentum in overseas markets.
BigMint assessed domestic 304-grade scrap at INR 113,000/t ex-Delhi, up INR 1,500 from last week, while imported 304-grade scrap from nearshore origins rose $20 to $1,280/t CFR Mundra.
“Enquiries have always been there. However, a leading SS manufacturer was selling billets to scrap consumers which disrupted pricing. But demand has been consistent,” a trader said.
A major buyer observed, “The increase in prices looks like a short term thing. The chrome hike is supply-driven, 316 availability is tight, but the October-December quarter could be positive as suppliers destock ahead of winter holidays.”
LME nickel remains rangebound
Nickel prices on the London Metal Exchange (LME) softened 1% on the week, with the three-month contract at $15,275/t versus $15,380/t last week. LME-registered nickel stocks rose 3% to 215,310 t from 209,676 t.
BigMint’s scrap assessments
- Nearshore-origin SS 316 scrap (loose): $2,480/t, up $20/t w-o-w
- Nearshore-origin SS 201 scrap (loose): $640/t, up $15/t w-o-w
- Nearshore-origin SS 430 scrap (loose): $600/t, up $10/t w-o-w
- SS 316 scrap ex-Delhi: INR 213,000/t, up INR 1,500/t w-o-w
Outlook
Stainless steel scrap prices are expected to remain on an upward trajectory in the near term as alloy costs, particularly molybdenum and chrome, continue climbing and availability stays tight, keeping supply-driven price pressure intact.
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