Indian shipbreaking scrap prices remained flat for the second consecutive day amid tepid demand from the rolling mills and slowdown in production activity.
The daily Davis Index for 4Ani and 6Ani settled flat at Rs25,500/mt ($348.54/mt) and Rs26,300/mt ex-Alang respectively. Mills refrained from buying raw material in bulk as demand from the end users has not picked up.
Trades were thin on Thursday, the index for 10Ani and 12Ani remained unchanged to Rs27,800/mt and Rs28,000/mt respectively.
Shipbreakers are however trying to clear the available inventories by paying more to purchase oxygen cylinders, which is affecting their margins.
The index for 8Ani and 14Ani settled flat at Rs27,250/mt and Rs28,100/mt ex-Alang. Demand for steel plates remained firm from the local Gujarat markets. The index for 1kg ,2kg, and 5kg plates settled flat at Rs24,650/mt, Rs26,000/mt and Rs27,000/mt respectively.
Shipbreakers are still not optimistic with the demand from the mills and are expecting the prices to remain under pressure for near term.
The daily Davis Index for HMS attachments and Melting scrap settled at Rs24550/mt and Rs23,550/mt respectively.