Indian shipbreaking scrap prices declined on Tuesday amid low demand from the rolling mills in the North as well as the local Gujarat market. The daily Davis Index for 4Ani declined by Rs700/mt ($9.66/mt) to Rs32,500/mt ex-Alang.
Suppliers reduced their offers as mills cut down on buying on Tuesday. The index for 6Ani declined by Rs300/mt to Rs33,200/mt ex-Alang and the indexes on 8Ani and 10Ani declined by Rs400/mt to Rs35,000/mt and Rs35,600/mt ex-Alang, respectively.
COVID-19 cases continue to surge across India and the vaccine rollout is yet to gain satisfactory traction. The looming fear of another lockdown is affecting market sentiments and dictating business decisions.
Due to increased freight rates, the yards in Alang are witnessing a shortage of vessels. The index for 14Ani declined by Rs100/mt to Rs36,500/mt ex-Alang.
Demand from the construction segment was sluggish and yards reduced their offers for ship plates. The daily Davis Index for 1kg plates and 2kg plates declined by Rs400/mt to Rs32,200/mt and Rs33,000/mt ex-Alang, respectively.
Market participants are still waiting to get a clear price direction as mills are buying only if the requirement is urgent.
The daily Davis Index for HMS attachments and Melting declined by Rs300/mt each to Rs32,100/mt and Rs31,100/mt ex-Alang respectively.
($1=Rs72.45)