India: BigMint's ferrous scrap index rises by INR 200/t on improved steel demand

• Limited scrap availability supports price uptrend
  
  
• Ingot, rebar prices increase by INR 200/t d-o-d
  
  

BigMint's domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, increased by INR 200/t d-o-d to INR 37,500/tonne (t) DAP on 25 May 2026. Scrap prices in Mandi increased by INR 200-300/t d-o-d due to slow arrival of scrap and improved demand in semi-finished and finished steel.

Demand for semi-finished steel picked up, with local buyers showing stronger participation and keeping the market sentiment positive. HR strip (patra) prices jumped INR 700/t d-o-d to INR 45,000/t in today's trading session.

A mill owner informed BigMint, "Rising petrol and diesel prices in India have pushed freight costs higher across the country, directly increasing transportation expenses for steelmakers. At the same time, weak market conditions and rising liabilities are putting additional pressure on their finances, further squeezing profit margins."

Alternative raw material prices

Sponge iron (CDRI) prices in Mandi Gobindgarh increased by INR 250/t to INR 30,650/t DAP, reflecting balanced demand-supply conditions. In contrast, steel-grade pig iron prices in Ludhiana also remained stable d-o-d at INR 42,800/t DAP, supported by firm demand.

Steel market

In the Mandi region, steel ingot prices increased by INR 200/t to INR 42,700/t during the price reporting and normalisation phase. However, prices in other key markets rose INR 100-800/t.

Similarly, in the rebar (Fe500) segment, Mandi prices rose by INR 200/t d-o-d to INR 47,700/t exw, supported by moderate demand. HR strip (patra) prices significantly improved by INR 700/t to INR 45,000/t exw in the region.

Overview of Jalna market

In the western India-based Jalna market, billet, rebar, and HMS (80:20) scrap prices remained stable d-o-d at INR 40,800/t, INR 46,000/t, and INR 33,500/t, respectively. Trade activity improved in todays session compared to the past few days, indicating a slight recovery in market movement.

According to sources, a shortage of fuel in the region has disrupted the availability of commercial vehicles, affecting transportation logistics. As a result, some mills are accepting orders only when buyers arrange immediate vehicle availability for finished steel dispatches. Meanwhile, scrap supply remains slightly tight, as suppliers are hesitant to release material at lower offer levels.

Major 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 5,000-5,500/t.

Domestic vs imported scrap: Imported melting scrap prices at Nhava Sheva Port were assessed at $374/t, approximately INR 37,900/t (inclusive of freight). Today, HMS (80:20) prices in Mumbai inched up by INR 100/t to INR 35,400/t DAP. Indicative prices of shredded from Europe stood at $395/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 14,250/t.

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

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