Import scrap prices for India have edged up with sellers pushing up offers, citing higher collection costs and increases in freight rates, but the resulting widening of the bid-offer gap has kept trade activity muted, SteelOrbis learned from trade and industry circles on Wednesday, July 17.
Offers for containerised shredded scrap of EU/UK origin are mainly at $415-420/mt CFR, with some reports even indicating them as high as $425-430/mt CFR Nhava Sheva port in the west, compared to the reference prices of $410-412/mt CFR a week ago.
However, according to sources, with bids largely restricted to $405-410/mt CFR, no deal has been confirmed in the market and the tradable level are still not above $410-415/mt CFR.
The sources said that UK origin HMS (80:20) scrap offers are reported marginally higher at $395-405/mt CFR Kandla, compared to $390-400/mt CFR a week ago, while ex-West Africa HMS scrap has been heard at $2 higher at $382-392/mt CFR.
A Gujarat-based induction furnace operator cum scrap dealer has reported a trade for 2,000 mt of HMS scrap of West African origin but declined to disclose the deal price, which was estimated at the previous week’s level of $380-390/mt CFR.
“Considering the distress in the finished steel market, there is no appetite among secondary mills to restock imported raw materials. In fact, many suppliers are believed to have pulled out of the Indian market owing to poor business prospects,” a Mumbai-based ferrous and non-ferrous scrap trader said.