Import shredded scrap prices in India have continued to consolidate at higher levels during the past week amid higher activity in key international markets and tight supplies of ex-US material, with Indian secondary steel mills concluding contracts for modest tonnages, SteelOrbis has learned on Wednesday, October 28.
According to market sources, a rise in seaborne trades in bellwether markets like Turkey and higher demand in Asian markets have prompted sellers to push up offer levels.
The sources said that ex-US containerized shredded scrap prices have increased to levels of $315-320/mt CFR Nhava Seva port in the west compared to deals concluded in the range of $308-315/mt CFR in the earlier week.
The import price of ex-US bulk ferrous scrap HMS I/II has also edged up, by $5-10/mt on avareage to $305-310/mt CFR Kandla port, although the buyers of bulk scrap were limited to secondary mills in the western state of Gujarat, the sources added.
A Maharashtra-based secondary steel mill concluded a trade for ex-US shredded scrap at pa rice of around $320/mt CFR Nhava Seva. A southern India-based steel mill reported a trade for shredded scrap at around $315-318/mt CFR for December delivery.
A Gujarat-based secondary steel mill cum trading firm concluded a December delivery contract for bulk HMS I/II of 15,000 mt at around $310/mt CFR Kandla ports, the sources said.
The rise in imported scrap prices has pushed smaller secondary steel mills to restock from local scrap yards, triggering a price increase in local scrap offers. Prices at Mandi Govindgarh in the north edged up INR 500/mt ($7/mt) to INR 26,400/mt ($358/mt) ex-stockyard. Prices gained INR 300/mt ($4/mt) to INR 23,800/mt ($323/mt) ex-stockyard at Alang in the west.
$1 = INR 73.70