Indian domestic ferrous scrap prices remained flat on Tuesday with markets still shut. Mills have stopped any melting activity as they stare in the face of demand challenge among others in the coming days.
The daily Davis Index for HMS 1&2 (80:20) remained unchanged at Rs20,150/mt ($264.95/mt) del Mandi Gobindgarh. The daily index for sponge iron remained unchanged at Rs20,000/mt del Mandi Gobindgarh.
Despite the government allowing activities to resume in a few areas with due diligence, steelmakers are waiting for the lockdown to end to resume production. Market participants say labour availability remains a challenge and the situation will persist for the next three-six months. Even after the lockdown ends, some mills could take additional time to restart activities.
Importers struggled to clear their shipments which remain piled up at inland container depots (ICD) and ports due to liquidity crunch and transport issues. Shipbreaking yards in Alang Gujrat have restarted activities with limited workforce.
The bi-weekly index for HMS 1&2 (80:20) remained unchanged at Rs21,000/mt del Chennai and the index for sponge iron remained flat to Rs18,800/mt del Chennai.
In Durgapur, Raipur, Hyderabad, Goa, Indore and Ahmedabad the bi-weekly indexes for HMS 1&2 (80:20) remained unchanged at Rs22,475/mt, Rs 22,050/mt, Rs22,450/mt, Rs21,000/mt, Rs22,200/mt and Rs23,400/mt del mill, respectively.
The daily Davis Index for HMS 1&2 (80:20) and sponge iron settled unchanged at Rs22,450/mt and Rs17,900/mt del Mumbai mill, respectively.The bi-weekly index for HMS 1&2 (80:20) and sponge iron remained unchanged at Rs21,950/mt and Rs19,750/mt del Jalna, respectively.