India: BigMint's ferrous scrap index softens on weak steel demand

• Soft finished steel demand weighs on scrap buying sentiment
  
  
• Regional longs prices fall to multi-week lows
  
  

BigMint's domestic end-cutting scrap index, tracking the Mandi Gobindgarh market, eased by INR 200/tonne (t) d-o-d to INR 38,600/t DAP on 11 May 2026. Mandi Gobindgarh's secondary steel market extended its decline on Monday amid soft sentiments and a paused trading environment, as mills cited lackluster finished steel demand fueling liquidity pressures and subdued scrap buying-leaving prices trending lower with buyers sidelined and no near-term recovery catalysts in sight.

Alternative raw material prices

Sponge iron (CDRI) prices in Mandi Gobindgarh decreased by INR 200/t d-o-d to INR 32,000/t DAP. In contrast, steel-grade pig iron prices in Ludhiana fell by INR 200/t to INR 41,600/t DAP.

Steel market trends

In Mandi Gobindgarh, semi-finished steel (ingot) prices moved down by INR 100/t to INR 43,900/t DAP, reflecting lacklustre steel demand. In other major production centres, ingot prices declined by INR 100-400/t d-o-d.

In Mandi Gobindgarh, rebar (Fe500) prices declined by INR 100/t to INR 49,100/t exw today, reflecting subdued trading volumes. HR strip (patra) prices fell by INR 100/t d-o-d to INR 45,400/t exw.

Regional TMT prices hit a 9-week low, with patra at a 6-week trough, signaling slack steel demand and tepid buying.

Overview of Alang market

Alang ship-breaking melting scrap eased INR 100/t d-o-d to INR 36,500/t exy on 11 May 26, per BigMint assessment, as slowed semis/finished steel trade curbed activity-prompting suppliers to trim offers amid average scrap volumes.

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 $382/t, approximately INR 38,650/t (inclusive of freight). Today, HMS (80:20) prices in Mumbai remained stable d-o-d at INR 34,500/t DAP. Indicative prices of shredded from Europe stood at $394/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 15,150/t.

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

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