India: 304 grade scrap prices drop w-o-w following volatility in LME nickel prices, low demand

• 304 scrap prices ease amid bearish nickel sentiment
  
  
• Import market remains slow as bid-offer gap persists
  
  

India's stainless steel scrap market recorded mixed trends in the week ended 12 June 2026, as participants navigated bearish nickel sentiment, rising freight costs, and ongoing global supply concerns. Buying activity remained largely need-based, with mills and traders adopting a cautious approach amid weak finished stainless steel demand and volatility in LME nickel prices.

A trader source said that mills were hesitant to procure aggressively due to uncertainty in nickel prices and were attempting to secure larger volumes at lower levels. However, the source noted that limited scrap availability and elevated alloy costs could continue to support prices.

Import market remains range-bound

Despite softer nickel prices, imported 304 stainless steel scrap offers remained firm at $1,550-1,560/t CFR India, while workable bids were heard lower at $1,520-1,530/t CFR, highlighting the continued bid-offer disparity. Market participants attributed the slow pace of transactions to higher freight costs and cautious buying sentiment.

Meanwhile, imported 316-grade scrap prices remained elevated amid rising molybdenum costs and tight global availability. BigMint's imported 304 stainless steel scrap assessment declined by $20/t w-o-w to $1,550/t CFR Nhava Sheva, while imported 316 scrap prices increased by $20/t to $2,945/t CFR India.

Domestic 316 scrap extends gains

According to BigMint's assessment, benchmark domestic 304 stainless steel scrap prices decreased by INR 1,000/t w-o-w to INR 145,000/t DAP Delhi, tracking weaker nickel sentiment and subdued buying activity.

In contrast, the 316-grade scrap segment continued to strengthen, with prices increasing by INR 1,000/t to INR 280,000/t DAP Delhi. The increase was supported by limited spot availability and elevated ferro molybdenum prices, which were assessed at INR 4,117,000/t exw-India.

Outlook

India's stainless steel scrap market is expected to remain cautious in the near term. While weaker nickel prices may weigh on 304-grade sentiment, tight availability of 316-grade scrap, elevated ferro molybdenum prices, and ongoing global supply concerns are likely to provide support. However, weak finished steel demand and continued need-based procurement may limit significant price movements.