The weekly Davis Index for ADC 12 settled at R140,000/mt, up by Rs1,500/mt($20.39/mt) from Rs138,500/mt ex-works Delhi producer. Prices rose as importers struggled to secure scrap from the US and Europe due to a limited vessel and container availability.
Market participants expect prices for auto alloys to rise by over Rs5,000/mt in the next month considering the shortage of raw material, along with the surge in the three-month aluminium contract on LME, which has already crossed the $2,000/mt mark.
Davis Index also heard ADC 12 purchase at Rs145,000/mt ex-works Kolkata producer, but not all manufacturers confirmed trades at this level.
The weekly Davis Index for ADC 12 settled at Rs147,750/mt ($2,008.93/mt) ex-works Mumbai producer, up by Rs1,917/mt from the prior week. Davis Index heard a few trades of ADC12 at Rs151,000- 153,000/mt ex-Mumbai and Silvassa producer.
ADC 12 producers in Western India were reported to have bought old cast/Tense at $1,475/mt cfr India, up by $28/mt from the prior Friday, Zorba 95/2 at $1,578/mt cfr India, up by $43/mt from the prior week.
The weekly Index for LM6 settled at Rs164,667/mt ex-works Mumbai producer, up by Rs3,667/mt from the prior week.
Manufacturers exporting ADC12 to China said that Chinese buyers revised their purchase prices by $70/mt to $2,020/mt cfr from $1,950/mt on the prior Monday.
Domestic demand has started to slow down after healthy trades in the last two months. But manufacturers believe that the demand for ADC 12 will pick up in February and March again.
($1= Rs73.54)