India: Imported copper scrap prices rise w-o-w; LME touches $11,000/t levels

• LME prices edge up by nearly 3% w-o-w
  
  
• Domestic demand stays muted post-Diwali
  
  

Imported copper scrap prices in India increased w-o-w amid a spike in London Metal Exchange (LME) futures. Meanwhile, domestic copper scrap prices saw a mixed trend w-o-w amid limited activity as the market still remained in holiday mood following Diwali.

According to BigMint's assessment, Birch Cliff scrap was assessed at $10,230/tonne (t), up by 4% w-o-w, while US motors mix stood at $1,200/t (both CFR Mundra), up by $20/t w-o-w.

LME copper prices rose to around $10,960/t, up nearly 3% from about $10,600/t last week. The rally was supported by strong Chinese factory output, a softer US dollar, and persistent supply tightness from South American mines, which collectively lifted investor sentiment and refined copper premiums.

European copper scrap market

The European copper scrap market remained largely steady this week, supported by stable liquidity and balanced trading activity across key regional hubs. Market participants revealed that transaction values tracked the recent uptrend in LME copper, helping maintain stability in payables after prior volatility.

Strong buying interest from Asian importers and stable domestic demand in Europe further underpinned sentiment, with suppliers holding offers firm amid limited availability of premium grades.

Prices (CIF China)

Millberry (EU): 99% LME

Candyberry (EU): 97-98.5% LME

Birch/Cliff (EU): 94.5-95% LME

Birch/Cliff cargoes from Germany to Chennai were booked at around 93.25% of LME, reflecting stable freight and demand conditions. Meanwhile, Brass Honey shipments from the UK were at around 59.25-59.75% of LME, factoring in 6-7% impurities on a CIF basis at Mundra Port. The container availability has improved modestly this quarter, supporting smoother trade flows into South and Southeast Asia.

Indian market updates

Demand in the Indian copper scrap market remained muted even after Diwali, though there was activity in the wire, cable, and engineering segments. LME coppers recent rebound lent mild strength to domestic sentiment, though overall trade volumes were moderate.

Market participants noted that buying activity was stable, though limited, compared with the previous week, as traders assessed global cues and adjusted to firmer international prices. Imported Motor scrap continued to be unattractive for several buyers, and high-grade materials fetched stronger returns in Pakistan and the Far East.

In Delhi and Gujarat, trading resumed gradually post-festive season, with fabricators and downstream units opting for small-lot purchases. Market confidence was improving slowly, supported by the prospect of stronger industrial demand in the coming weeks.

Some traders anticipate renewed restocking interest for high-grade scrap such as Millberry and Candyberry, as the arbitrage between imported and domestic prices narrows.

Outlook

Indian copper scrap prices are expected to remain broadly stable to slightly firm in the near term. Domestic demand continues to be driven by the wire, cable, and engineering sectors, while selective import buying persists for higher-grade materials.

Lower-grade scrap may see limited traction due to tightening quality norms and relatively narrow margins. However, healthy import flows and consistent end-user offtake are likely to support overall price stability.

If LME copper sustains above recent highs, domestic scrap payables could edge higher, particularly for premium grades in western and northern India.