INDIA October 16 2014 3:45 PM
MUMBAI (Scrap Register): Indian ferrous scrap import prices were mostly stable in a flat market affected by the mon-soon rains. The monthly average for containerized Indian shredded imports prices edged up by $0.55 a ton month-on-month to $389.80 a ton.
According to TSI, Indian ferrous scrap import market continued to be sluggish as the finished steel sector remained subdued. Seasonal weak de-mand led to finished steel prices falling by around $20 a ton at the end of the month, which heaped downward pressure onto scrap pricing.
Like their international counterparts, Indian traders were also keeping an eye on cheap imports of Chinese-origin steel products and were trying to compete by lowering prices.
Mills mostly looked to the domestic market for their scrap needs this month, with little need to supplement with imported material. However, reports that a bulk cargo of US origin scrap was booked into India this month had the effect of further dampening container-ized pricing. This bulk cargo was probably an attempt to take ad-vantage of collapsing international scrap prices.
TSI’s containerized Indian shredded imports index remained stable at $393 a ton for the first three weeks of the month, with trade very limited. The index then fell by $11 a ton over the last two weeks of the month.
This came as scrap suppliers lowered offers in line with falling international prices, but Indian mills were still not exactly rushing to buy material at these lower levels.