Shredded Scrap Offers to India Fall Further by USD 10/MT

Containerized shredded scrap offers to India fall further by USD 5-10/MT on weak sentiments in global market.

Imported shredded scrap (ISR1 211) noticed a further downfall of USD 10/MT this week, with offers hovering at USD 210-215/MT, CNF India. Last week offers were largely in the range of USD 220-225/MT, CNF India.

Market participants highlight that lower offers of billet from China and Russia has prompted Turkey based steel mills to import billet over scrap. This has led to increased supply of scrap in seaborne market.

Turkey is the largest importer of scrap in the world with an annual import of 18-19MnT.

“Shredded scrap offers are at USD 210-215/MT, CNF India, however buyers are still waiting for further correction”, said an importer based in Mumbai.

Indian scrap imports 

Indian scrap imports reduced gradually in August and September owing to currency fluctuation. However, falling scrap prices may prompt Indian steel mills to book more cargoes and we can anticipate imports to grow in coming months. Indian scrap imports from Jan-Sep’15 are recorded at around 4 MnT.

Trade Wise

1. Containerized shredded scrap offers from Europe/US at USD 210-215/MT CNF India
2. Premium shredded scrap from Japan offered at USD 220/MT CNF India
3. HMS 80:20 offers assessed at around USD 205/MT CNF India from Europe
4. HMS 80:20 offers at USD 190-192/MT CNF Turkey
5. Middle East based suppliers continue to keep offers high, HMS 80:20 assessed at USD 220-225/MT CNF India
6. HMS 80:20 offers to Taiwan assessed at USD 160/MT, CNF basis
7. An Indian importer booked around 1,000 MT turning scrap from Thailand at USD 190/MT CNF Chennai, India.

*till 26 Sep’15