India: BigMint's scrap index stable d-o-d as weak steel demand caps market momentum

• Scrap and sponge iron prices remains firm d-o-d
  
  
• Weak finished steel demand and inventory pressure keep mills cautious
  
  

BigMint's domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, remained stable d-o-d at INR 37,900/tonne (t) DAP on 15 June 2026. Scrap demand in Mandi Gobindgarh remained moderately robust despite mildly slow arrivals, but tepid finished-steel demand and mild finished-steel inventory pressure limited market momentum. Finished steel prices stayed mostly stable amid weak demand and scrap tightness, while slow mill demand squeezed margins and many mill owners preferred procuring sponge over scrap. Scrap suppliers maintained price discipline, and ongoing GST checks disrupted workflows and procurement.

A mill owner informed BigMint: "The domestic ferrous scrap market is expected to remain range-bound in the near term. Tight scrap availability may continue to support prices, but muted finished steel demand, pressure on mill margins, and buyers' preference for sponge iron are likely to restrict any significant upside."

Alternative raw material prices

Sponge iron (CDRI) prices in Mandi Gobindgarh remained d-o-d at INR 30,300/t DAP. Similarly, steel-grade pig iron prices in Ludhiana remained steady at INR 41,500/t DAP.

Steel market trends

In Mandi Gobindgarh, semi-finished steel (ingot) prices inched down by INR 100/t d-o-d to INR 42,900/t DAP, reflecting soft steel demand. In other major production centres, ingot prices declined by INR 100-200/t d-o-d.

In Mandi Gobindgarh, rebar (Fe500) prices remained stable d-o-d at INR 47,800/t ex-works today, reflecting subdued trading volumes as TMT prices in Mandi have declined by INR 400/t within eight working days. HR strip (patra) prices remained firmed d-o-d at INR 47,000/t ex-works amid ongoing regional weakness.

Upcoming scrap auctions

Price highlights

End-cutting to billet spread: In Mandi, the spread between end-cutting scrap and billets stood in the range of INR 4,900-5,300/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $348-$350/t, approximately INR 35,300/t (inclusive of freight). Today, HMS (80:20) prices in Mumbai remained steady at INR 33,250/t DAP. Indicative prices of shredded from Europe stood at $395-398/t CFR Nhava Sheva.

Raipur sponge iron-billet spread: The conversion spread (margin) between pellet-based DRI (P-DRI) and steel billets in Raipur stood at INR 14,700/t.

To see BigMint's melting scrap assessment, pricing methodology and specification documents, click here

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