Posted on 07 Jan 2022
Owing to an improvement in demand for finished longs coupled with Indian currency appreciation against the US dollar, imported scrap offers inched up by $10-20/tonne on-week, various sources inform Kallanish.
Offers for United Arab Emirates-origin HMS 1&2 80:20 surged $15-20/t on-week to $460-465/t cfr Nhava Sheva and Mundra, against the bidding of $450/t cfr from the buyers. West African-origin HMS 1&2 80:20 prices surged to $465-447/t cfr Chennai. A Chennai-based buyer booked 1,000t of West Africa-origin HMS 1&2 (20t weight) and West Africa-origin HMS 1&2 (25-26t weight) at $470/t and $470/t cfr Chennai, respectively on Thursday.
“Finished steel’s demand uprise has pulled the scrap prices as well. The sellers are trying to push the offers north...it is expected that buyers will have to settle at higher prices now,” says a west India-based senior scrap trader. “Rising trade activity in Turkey has led to price correction in the scrap market.”
Meanwhile, offers for UAE-origin HMS 1 is noted at $475-480/t cfr Nhava Sheva and northern India. UK- and US-origin shredded offers are hovering at $525-530/t cfr Nhava Sheva, though no deals were heard.
“Demand is low in the Punjab region; however, sellers are pushing for a higher offer. HMS 1&2 scrap market is already up by $10/t in just one day, from $460/t yesterday to $470/t cfr Punjab today,” says a senior Punjab-based source.
Domestic scrap offers are hovering at $480-485/t ex-North India, $500-505/t ex-Central India, $505-510/t ex-West India, and $495-500/t ex-East India.
“Raw material market is up this week...especially today, majorly because of the USD depreciation against the INR. Mills, however, are watching the prices/offers to settle before closing the deal,” says a Gujarat-based mill’s senior purchaser.
Source:Kallanish
