India’s scrap imports surged by 30% month-on-month in February, reaching approximately 1.18 million tonnes, according to CYBEX trade data obtained by Kallanish. On a yearly basis, imports rose by 28%.

The Netherlands emerged as the top supplier, followed by the US and UAE. Market participants note that scrap shipments from Europe and the US typically take 45-60 days to arrive in India, meaning the February arrivals were booked in late December.

“With the new year beginning in January, there were expectations that Indian steel demand would improve, following the usual trend influenced by the Chinese market. Given the reduced buying activity by Indian importers in recent months, restocking became necessary, leading to increased arrivals in February,” explains a Mumbai-based scrap trader.

Over the past three months, India’s monthly scrap imports averaged around 0.80mt, compared to the usual 0.90mt, creating the need for restocking.

India’s steel demand and prices were under pressure for nearly six months, but sentiment began improving in mid-February amid growing speculation of a safeguard duty and production cuts by rebar manufacturers, which pushed prices higher.

While domestic metallics like scrap and DRI have been sufficient to meet mill demand, imported scrap restocking every 15-20 days ensures consistent bookings, preventing any significant drop in scrap imports in the coming month.

In the first two months of 2025, India’s scrap imports totalled approximately 2.03mt, marking a 7% increase compared to the same period last year.