Indian domestic ferrous scrap prices continued to remain flat. The daily Davis Index for HMS 1&2 (80:20) settled unchanged at Rs20,150/mt ($264.54/mt) del Mandi Gobindgarh. The daily index for sponge iron remained flat at Rs20,000/mt del Mandi Gobindgarh.
Casual labourers returned to their hometowns before the lockdown began. Thus, in absence of workforce, steel manufacturing units and blast furnaces are unable to operate despite government’s permission to continue production. Following other leading Indian steelmakers, JSW’s Dolavi plant in Maharashtra has shut production.
In Mumbai, most mills are shut to avoid oversupply situation with a drop in downstream demand as construction and infrastructure projects have ground to a halt. The daily index for HMS 1&2 (80:20) settled flat at Rs22,450/mt del Mumbai mills and the index for sponge iron remained unchanged at Rs17,900/mt del mills.