Indian shipbreaking scrap prices rose on Monday on the back of demand from rolling mills of Uttar Pradesh, Rajasthan and Gujarat. Mills in Mandi Gobindgarh, however, are still away from any major buying. Although there was a slight uptick in demand for finished steel, it is unlikely to sustain for a long time. The Davis Index for 10Ani rose by Rs300/mt ($4/mt) to Rs27,550/mt ex-Alang.
Shipbreakers are focused on selling in other markets over their usual Mandi market as they looked to clear their inventories. With the ongoing monsoons, many mills have scheduled maintenance activities and it is only a matter of time until trades slow drastically.
The indexes for 6Ani rose by Rs50/mt to Rs26,000/mt, 14Ani rose by Rs 300/mt to Rs27,850/mt, 0.5 kg rose by Rs200/mt to Rs22,350/mt ex -Alang with deals for most of the grades at the index price.
Gujarat, Rajasthan and Uttar Pradesh mills were fairly active in booking HMS attachments and Melting scrap and the index for HMS attachments rose by Rs250/mt to Rs22,000/mt and the index for Melting rose by Rs100/mt to Rs21,000/mt ex-Alang.
Ship bookings have slowed down as yards are unable to accommodate more ships. Shortage of specialised gas cutters continued to delay the dismantling process at Alang.
($1=Rs74.6)