India’s imported ferrous scrap prices remained mixed over the week as sentiments remained weak and trade slowed. Enquiries spurred prices in the second half of the week, but most importers skipped new bookings amid availability of low-priced domestic scrap and sponge iron. Finished steel demand remained subdued.
The daily Davis Index for containerised shredded settled at $279.45/mt cfr India subcontinent on Friday, up $1.55/mt from $277.9/mt on Thursday. The Davis Index for containerised US-origin HMS 1&2 (80:20) settled at $258.25/mt cfr India subcontinent on Friday, up $1.9/mt from the prior day.
A few deals for UK-origin containerised shredded closed at $280/mt cfr Nhava Sheva, up from offers of $270-275/mt cfr last week. Most offers from the US remained at $275-280/mt cfr Nhava Sheva rejecting bids of $265-270/mt cfr Nhava Sheva early in the week. The daily Davis Index for containerised shredded settled at $276/mt cfr Nhava Sheva on Friday, up by $3/mt from a day ago and by $6/mt from the prior week.
The Davis Index for UAE-origin containerised HMS 1&2 (80:20) settled at $259/mt cfr Nhava Sheva, up by $7/mt from the prior week. A handful of offers were available despite the ban on scrap exports from South Africa and UAE. South African ban is less likely to impact the Indian market as steelmakers have ample domestic alternatives.
The index for US-origin HMS 1&2 (80:20) settled at $258/mt cfr Nhava Sheva, up by $5/mt from Thursday and down by $7/mt from the prior week. The index for South African HMS 1&2 (80:20) settled at $255/mt cfr Nhava Sheva, unchanged from the prior week. Brazil and West African HMS 1&2 (80:20) in containers traded at $240-245mt cfr Nhava Sheva.
The UK and Europe-origin HMS 1&2 (80:20) indexes settled at $248/mt cfr Nhava Sheva, down by $2/mt from the prior week. Trades for the grade in containers concluded at $250-255/mt cfr Chennai. Australia-origin HMS 1&2 (80:20) traded at $250-255/mt cfr Nhava Sheva and Mundra, flat from the prior week.
In Goa and Chennai, West African HMS 1&2 (80:20) traded flat at $245-250/mt cfr. A few bids dropped to $235-240/mt cfr levels due to a fall in domestic semi-finished steel and scrap prices.
The weekly indexes for busheling and P&S in containers settled at $293/mt cfr and $280/mt cfr Nhava Sheva, up by $3/mt and $4/mt, respectively, from the prior week. The index for Turning scrap was unchanged from the prior week at $230/mt cfr Nhava Sheva in absence of trades.
In Alang’s shipbreaking market, demolition activities are likely to gain momentum in the next few weeks. Prices remained competitive as vessels for demolition were offered at $275‑310/ldt delivered basis and the gap between shredded and melting scrap has narrowed sharply.
Market highlights
Taiwan
Imported ferrous scrap prices in Taiwan rose on Friday taking cues from higher bids placed during Japan’s Kanto tender. Stable Turkish index of around $255/mt cfr supported bullish sentiments. Traders are expecting markets to stay stable in the next week without significant ups and downs.
The Davis Index for containerised US-origin HMS 1&2 (80:20) settled at $230/mt cfr Taiwan, up by $3/mt from Thursday and down by $2/mt from previous Friday. Few trades were heard for HMS 1&2 (80:20) at $230/mt cfr and for #1 HMS at $235/mt cfr.
Taiwanese semi-finished steel manufacturers sought South American scrap to reduce input costs. Davis Index heard bids at $218/mt cfr while offers were at $225/mt cfr Taiwan. Kanto tender is expected to swing the scrap prices higher but buyers are holding on to lower bids. Any further bulk booking prices by Turkey may boost market sentimentsin the upcoming weeks, said Japanese traders.
($1=Rs75.23; NTD29.47)