Import scrap prices in India have shown marginal changes over the past week, with buyers cautious about concluding foreign currency trades and sellers not very active in submitting offers amid a lack of business opportunities, SteelOrbis learned from trade and industry circles on Wednesday, June 3.
Sources said that ex-UK/Europe containerized shredded scrap are “notionally” reported to be unchanged at $390-400/mt CFR Nhava Sheva port in the west, but no seller was heard to have submitted any “active offer”.
Similarly, ex-UK HMS I/II few offers trickled at $360-363/mt CFR, marginally changed from levels of $360-365/mt CFR a week ago. But the buyers’ price ideas have been at $350/mt CFR maximum.
According to sources, secondary mills are facing steadily declining sales and prices of construction grade steel products, forcing a lowering of output levels. Domestic sourcing is therefore a preferred option to meet reduced raw material requirements, avoiding foreign currency volatility and hedging the risks inherent in international trade.
“Mills are already facing the rising cost of energy required to fuel furnaces. They cannot afford to absorb additional high-cost imported raw material. There are sufficient local bulk scrap supplies at more competitive prices to meet the limited demand,” a Mumbai-based ferrous and non-ferrous metal trader said.
