India’s stainless steel scrap market remained under pressure during the week ending 12 December, as mills held sufficient inventory and avoided fresh bookings. As a result, trading activity across key regions stayed muted. Moreover, weak downstream demand continued to shape cautious buying behaviour.

Domestic 304-grade scrap prices stayed stable during the week. BigMint assessed material at Rs 107,000 per tonne ex-Delhi. Meanwhile, imported 304-grade scrap from nearshore origins stood at US $1,180 per tonne CFR Mundra. Both assessments remained unchanged week-on-week.

Domestic scrap prices largely held steady across markets. However, mills made only selective purchases between Rs 101,000 and Rs 103,000 per tonne on a cash basis. Market participants said subdued finished stainless steel demand continued to limit procurement. Consequently, buyers preferred to delay fresh commitments.

A mill source said the market remained extremely slow. Therefore, the mill planned no scrap procurement for the rest of the month. Another buyer said stable price levels failed to improve activity. As a result, mills continued to face minimal offtake for finished stainless steel products.

In the 316-grade segment, most mills paused procurement activity. This followed a sharp fall in molybdenum prices over recent weeks. However, some suppliers continued to quote higher prices. Consequently, mills opted to convert 316-grade from 304-grade material. This pricing gap further reduced buying interest.

Trading in the 400-series segment also remained limited. Market sources heard 430-grade scrap booked at Rs 56,700 per tonne DAP Mumbai. However, deals remained few. This reflected selective demand and cautious stocking strategies among buyers.

BigMint assessed nearshore-origin SS 316 scrap at US $2,400 per tonne, down US $30 week-on-week. Meanwhile, nearshore-origin SS 201 scrap remained steady at US $620 per tonne. Similarly, nearshore-origin SS 430 scrap held firm at US $560 per tonne. In the domestic market, SS 316 scrap ex-Delhi stayed at Rs 207,000 per tonne. Additionally, SS utensil scrap ex-Delhi remained unchanged at Rs 59,000 per tonne.

Nickel prices on the London Metal Exchange showed slight movement during the week. The three-month contract hovered around US $14,635 per tonne. However, prices still stood nearly 2 per cent lower than US $14,920 last week. Meanwhile, LME-registered nickel stocks fell marginally to 252,852 tonnes.

Stainless steel scrap prices may remain volatile through December. Weak demand continues to cap trading volumes across markets. Moreover, year-end caution still limits buying interest. Therefore, the market may stay range-bound with little scope for upward movement.