Import scrap prices spike in India due to disrupted shipping, rise in Turkey

Wednesday, 19 February 2020 15:57:24 (GMT+3)   |   Kolkata
       

Imported scrap prices in India have moved up significantly during the past week in reaction to the firming up of prices in key markets like Turkey, the shortage of containers and disruptions in shipping services, but deals have remained muted following the softening of local scrap prices and low demand among secondary steel mills, SteelOrbis was informed on Wednesday, February 19.

According to traders, secondary steel mills were just able to absorb higher costs and adjust rebar prices accordingly and have not been in a position to restock imported scrap at higher prices at a time when the local scrap market is on a downswing with higher availability.

Citing reports available from shipping lines, market sources said that an estimated 31 US-Asia and Europe-Asia sailings have already been cancelled and the delays and cancellations disrupted ‘back hauls’ of ships, resulting in a shortage of containers at loading ports and triggering higher CFR rates, a fall-out of the slump in trading activity in China.

Market sources said that ex-US HMS I/II 80:20 prices have ranged at $290-300/mt CFR Nhava Seva port, up by $5-10/mt compared to last week. The sources said that local secondary market importers have stayed away from bookings.

Sources citing market reports said that one Gujarat-based secondary steel mill has concluded a booking for ex-UAE shredded scrap at $298/mt CFR Kandla port in the west, compared to deals at around $290/mt CFR in earlier weeks. Ex-Europe shredded scrap offers have increased by $10/mt to $300/mt CFR India.

However, the primary reason for low import trading activity has been the steady fall in scrap prices in the local market. According to sources, scrap prices are down INR 500/mt ($7/mt) to INR 22,650/mt ($317) ex-stockyard at Mandi Govindgarh in northern India. Prices are down INR 400/mt to INR 22,100/mt ($309/mt) ex-stockyard, Alang in the west.

$1 = INR 71.56

 


Similar articles

Mexican domestic scrap prices

28 Mar | Scrap & Raw Materials

Carbon and stainless scrap prices in Taiwanese domestic market - week 13, 2024

28 Mar | Scrap & Raw Materials

Turkey’s deep sea scrap prices stabilize at $385-390/mt CFR

28 Mar | Scrap & Raw Materials

CISA: Coking coal purchase cost in China down 9.86% in Jan-Feb

28 Mar | Steel News

US scrap market still expecting sideways pricing in April

27 Mar | Scrap & Raw Materials

Ex-US deep sea scrap prices to Turkey increase, ex-EU prices relatively stable

27 Mar | Scrap & Raw Materials

Downtrend reverses in Pakistan’s import scrap segment

27 Mar | Scrap & Raw Materials

Average local Chinese scrap prices rise amid tight supply after previous decreases

27 Mar | Scrap & Raw Materials

Import scrap prices in India move up, but low bids prevent deals

27 Mar | Scrap & Raw Materials

Baltic countries and Czech Republic seek EU ban on ex-Russia scrap imports

27 Mar | Steel News