India Steel Market Watch
October 26: The festive season of Dussehra and Durga Puja lent a slowness to the market and domestic scrap offers eased on low buying by end-users, industry sources told ISMW.
With the rupee depreciating a tad further to Rs 64.87 to a dollar, imported scrap offers fell further to $192 per ton from the earlier $196 per ton earlier on low booking and a possible increase in inventory levels. The shredded variety also moved down to $208 against the previous week’s $216 per ton.
Scrap prices moved in a range of Rs 18,500 -21700 per ton.
Scrap currently contributes 18-20% to India's crude steel-making.
In Mandi Govindgarh, scrap rates lost ground by Rs 400 on a weekly basis to settle down at Rs 19,400 per ton.
Rolling rates, however, showed more or less a firm trend.
While prices for Mandi Govindgarh were not available for the week, in Alang, rates firmed up by Rs 100-400 per ton, though the 5 Ani (1/2 kg) eased by Rs 1,000 per ton to Rs 18,700 per ton.
Overall, sources reason the firmness in prices is due to the lower inventory levels because of lesser number of ships arriving for breaking.
The numbers of ships arriving at Alang for breaking has fallen from 40-45 per month around two years back to 15-20 a month at present. As against 212 ships over January-August, 2014, a much lower number of 143 arrived for breaking during the same period in the current calendar, sources said.
However, sources said, it is difficult for the firmness in prices to sustain for long as demand for ship scrap from steel re-rolling mills is very dull because of the weak steel market in general in India. Around 3% of total steel consumption in India comes from ship scrap.
The sector is mainly dependent on the real estate and infrastructure industries, and both are not doing well, sources said.
US$ 1=Rs 64.87
Following are scrap and rolling prices in different markets:
Market |
Prices as on 09.26.2015 |
Prices as on 10.03.2015 |
Prices as on 10.10.2015 |
Prices as on 10.17.2015 |
Prices as on 10.23.2015 |
Weekly change from 10.17.2015 |
Monthly Change from 09.26.2015 |
Scrap |
|||||||
Mandi Govindgarh |
20200 |
20300 |
19800 |
19800 |
19400 |
-400 |
-800 |
Kolkata |
|
|
|
|
|
N/A |
N/A |
Alang |
18700 |
18200 |
|
17900 |
|
N/A |
N/A |
Raipur |
|
|
|
|
|
N/A |
N/A |
Jaipur |
22000 |
21800 |
21000 |
20200 |
19700 |
-500 |
-2300 |
Ludhiana |
22700 |
22600 |
22200 |
22100 |
21700 |
-400 |
-1000 |
Muzaffarnagar |
22200 |
|
|
|
|
N/A |
N/A |
Mumbai |
18000 |
18100 |
18100 |
|
|
N/A |
N/A |
Patna |
|
|
|
|
|
N/A |
N/A |
Delhi |
|
|
|
|
|
N/A |
N/A |
Gaziabad |
23000 |
|
|
|
|
N/A |
N/A |
Bhilai |
19500 |
18500 |
|
18500 |
18500 |
- |
-1000 |
Ahmedabad |
|
|
|
|
|
N/A |
N/A |
Durgapur |
20000 |
|
|
|
|
N/A |
N/A |
Jammu |
|
|
|
|
|
N/A |
N/A |
Kanpur |
|
|
|
|
|
N/A |
N/A |
Indore |
20300 |
|
|
|
|
N/A |
N/A |
Nagpur |
|
|
|
|
|
N/A |
N/A |
Jalna |
|
|
|
|
|
N/A |
N/A |
Market |
Prices as on 09.26.2015 |
Prices as on 10.03.2015 |
|
Prices as on 10.10.2015 |
Prices as on 10.17.2015 |
Prices as on 10.23.2015 |
Weekly change from 10.17.2015 |
Monthly Change from 09.26.2015 |
|
|
Rolling |
||||||||
|
Mandi Govindgarh |
||||||||
10 Ani |
|
25800 |
|
24700 |
25000 |
|
N/A |
N/A |
|
8 Ani |
|
25600 |
|
24500 |
24800 |
|
N/A |
N/A |
|
6 Ani |
|
25200 |
|
24100 |
24500 |
|
N/A |
N/A |
|
2/5 Kg |
|
24600 |
|
23700 |
24000 |
|
N/A |
N/A |
|
5/10 Kg |
|
25300 |
|
24200 |
24500 |
|
N/A |
N/A |
|
1/2 Kg |
|
23200 |
|
22100 |
22500 |
|
N/A |
N/A |
|
|
Alang |
||||||||
12 Ani |
23500 |
22200 |
|
21800 |
22300 |
22700 |
400 |
-800 |
|
10 Ani |
23300 |
22100 |
|
21700 |
22200 |
22600 |
400 |
-700 |
|
8 Ani |
23000 |
21800 |
|
21400 |
22100 |
22200 |
100 |
-800 |
|
6 Ani |
22500 |
21400 |
|
21100 |
21800 |
21900 |
100 |
-600 |
|
4 Ani |
21900 |
20700 |
|
20500 |
21400 |
21400 |
- |
-500 |
|
5 Ani |
|
|
|
|
|
|
N/A |
N/A |
|
1/2 Kg |
21300 |
19500 |
|
19400 |
19700 |
18700 |
-1000 |
-2600 |
|