Indian domestic ferrous scrap prices were flat on Monday as markets remained closed amid COVID-19 lockdown. The daily Davis Index for HMS 1&2 (80:20) Monday remained unchanged at Rs20,150 ($266.99/mt) del Mandi Gobindgarh. The daily index for sponge iron remained unchanged to Rs20,000/mt del Mandi Gobindgarh.
Scrap markets across India are expected to remain close till April 14 as local authorities restrict movement people and goods fearing the spread of the virus. Mass exodus of daily wagers and casual labours have disturbed the quarantine in many Indian cities. In a bid to address the situation, manufacturers in Punjab have approached the government seeking permission to carry out operations following strict social distancing and hygiene parameters with the labours staying and working in the industrial premises.
Many scrap consignments are still waiting for customs clearance at Inland Container Depot (ICD) In Ludhiana and other ports in India. Manufacturing activity is almost nil in industrial centres across India. This has lead to orders cancellation and delays. Many deals are kept on hold, according to major steel producers.
Steel mills in Mandi and Jalna have stopped production. Induction furnaces are shut, but blast furnaces are operating at reduced capacity.
In Mumbai, the daily index for HMS 1&2 (80:20) remained flat at Rs22,450/mt del mills and the index for sponge iron settled flat at Rs17,900/mt del mills.