Import scrap prices in India have remained largely stable with an upward bias amid subdued trade activity, with buyers continuing to source local scrap due to easier availability, at a slightly higher price, SteelOrbis learned from trade and industry circles on Wednesday, February 26.
Ex-UK/Europe containerized shredded scrap offers are in the range of $375-390/mt CFR Nhava Sheva port in the west, compared to $375-380/mt CFR a week ago. However, since most bids are still not above $370/mt CFR, the SteelOrbis reference price has inched up minimally from $370/mt CFR last week to $370-375/mt CFR.
The tradable level for European origin HMS I/II (80:20) scrap is reported at $340-350/mt CFR, slightly below $350/mt CFR seen last week. But, in general, the market has been assessed as stable.
According to the sources, a trade for 1,000 mt of ex-Poland HMS I/II scrap was reported at $350/mt CFR Nhava Sheva port, while another deal was heard for 1,000 mt of plate and structural scrap (PNS) originating from Kuwait at $370/mt CFR Nhava Sheva.
Sources said that local scrap prices have edged up by around INR 600/mt ($7/mt) to INR 33,600/mt ($390/mt) ex-Mandi Govindgarh in the north. However, with dealers carrying more than adequate stocks, the effective price net of discounts is at least INR 300/mt ($3/mt) lower on ex-stockyard basis, making it the preferred choice of induction furnace operators.
At least two traders said that local secondary mills are unlikely to look at imported raw material as prices are expected to harden in tandem with the shift in global trade factoring in the US tariff changes.
They said that, with steel imports into the US getting squeezed by higher tariffs, local US mills, predominantly scrap-based, would be looking to ramp up capacity, increasing local demand for scrap and tightening of supplies in global trade.