Bhiwandi is not just Mumbai’s scrap hub. It is arguably the single most liquid scrap market in western India. Material arrives from Gujarat, Goa, Maharashtra, and even Rajasthan. Buyers from Wada, Khopoli, and Pune compete on the same lots. That volume and buyer density is what makes Mumbai rates the reference point for the entire western region, and it is also what makes the negotiation tighter here than anywhere else. Buyers know exactly what the next seller is quoting.
Mumbai scrap rate today for September 2026 is holding between Rs.30–42/kg depending on grade, material source, and which buyer you are talking to. That range is not a wide estimate. It reflects a market where factory-sourced industrial steel and household-grade mixed iron are two different products that no serious buyer will price the same way.
Mumbai Scrap Rate September 2026: Grade-Wise Table
These are the active indicative rates as of 16 September 2026:
| Scrap Grade | Rate Per Kg | Rate Per Tonne |
|---|---|---|
| Standard iron / ferrous scrap | Rs.30 – Rs.34 | Rs.30,000 – Rs.34,000 |
| Industrial steel scrap mix | Rs.35 – Rs.42 | Rs.35,000 – Rs.42,000 |
| HMS 1 (heavy melting scrap) | Rs.28 – Rs.34 | Rs.28,000 – Rs.34,000 |
| HMS 2 (mixed / lighter gauge) | Rs.28 – Rs.34 | Rs.28,000 – Rs.34,000 |
| MS iron sheet scrap | Rs.36 – Rs.40 | Rs.36,000 – Rs.40,000 |
| Cast iron (industrial grade) | Rs.30 – Rs.34 | Rs.30,000 – Rs.34,000 |
| Cast iron (foundry / low grade) | Rs.24 – Rs.29 | Rs.24,000 – Rs.29,000 |
Rates have softened Rs.500–1,000 per tonne since February September 2026. The trigger was a scheduled maintenance cycle at induction furnaces supplying Wada, Khopoli, and Pune, which pulled weekly intake volumes down. When furnace demand drops, every scrap yard within 100km feels it within 48 hours. Dealers in Maharashtra who were sitting on inventory waiting for a recovery had to move material at Rs.1–2/kg below their cost price just to clear stock before the next buying cycle opened.
Why Mumbai Loha Rate Differs From Other Cities
A 10-tonne load from Bhiwandi to a Wada induction furnace covers 80km and costs Rs.4,000-6,000 in freight. The Khopoli corridor is 120km. Pune buyers are 160km away at Rs.6,000-9,000 freight. These shorter distances are why Mumbai consistently quotes the strongest rates in Maharashtra. The buyer’s freight overhead is the lowest in the state, and that difference comes through to the seller.
Sellers who benchmark their local quote against a national published rate without adjusting for the local freight corridor will always feel shortchanged, even when they are getting a fair deal. Understanding how scrap transport costs affect your final rate is the most useful calculation any Mumbai seller can do before entering a negotiation.
Factory-Direct vs Yard-Collected: Where the Real Money Is
Nobody tells you this part upfront, but it is where the real price gap lives in the Mumbai market.
A factory-direct lot from Bhiwandi scrap hub, Taloja MIDC, and Turbhe industrial cluster comes with a known origin, predictable grade mix, and at minimum a gate pass the buyer can verify. That certainty is worth Rs.3–5/kg more than yard-collected mixed scrap, where the buyer has no choice but to price worst-case purity into his offer. Yard-collected scrap is a black box to a furnace operator. It might be 85% clean HMS or it might carry 12–15% non-ferrous contamination that burns up heat and melt time. That uncertainty gets priced in immediately. The full economics behind this gap are explained at factory vs yard scrap price difference.
How Mumbai Buyers Grade Your Material
This is where most sellers lose money, and it happens after the rate is already agreed.
HMS 1 must be thick-gauge, clean ferrous with no non-ferrous attachments. Buyers in Bhiwandi, Taloja, and Turbhe MIDC run induction furnaces where material consistency directly affects output quality. HMS 1 currently fetches Rs.28–34/kg, but any load with mixed sizing or visible scale gets pushed toward the lower band or reclassified entirely. The full grading criteria that buyers apply is covered in the HMS 1 vs HMS 2 scrap specs guide.
HMS 2 trades at the same band on paper, but buyers apply Rs.1–2/kg discounts on loads with significant light-gauge or mixed-profile content. If your material gets reclassified from HMS 1 to HMS 2 at the destination gate, that is a Rs.10,000–16,000 swing on an 8-tonne deal. Grade correctly before loading, not after arrival.
MS iron sheet scrap holds at Rs.36–40/kg because it charges directly into induction furnaces without pre-processing. Cast iron industrial grade at Rs.30–34/kg is steady. Foundry-grade or low-purity cast iron at Rs.24–29/kg is the most volatile category because carbon content uncertainty creates melt risk that buyers price heavily. The value comparison between HMS and cast iron grades is broken down at HMS vs cast iron scrap value.
What Really Happens at the Weighbridge
Here is the catch that experienced sellers already know: the rate agreed on the phone is a starting point, not a final number. The real negotiation happens at the weighbridge and during unloading, and if you are not prepared, you lose money on a deal you thought was already closed.
A Turbhe MIDC dealer delivered 12 tonnes of factory-sourced MS sheet to a Khopoli buyer at an agreed Rs.37/kg. At the buyer’s weighbridge, the loaded weight came in 180kg lighter than the yard weighbridge slip. The buyer charged the difference at the invoiced rate, cutting Rs.6,660 off the settlement. Both weighbridges were certified. The variation was real, and the seller had no recourse because the Khopoli weighbridge is the legal settlement point under the contract terms.
Buyers across Maharashtra consistently dock for:
- Moisture content: wet loads from outdoor storage or transit rain get docked Rs.1–2/kg across the full consignment
- Non-ferrous contamination: copper wire, aluminium brackets, rubber, and plastic mixed into ferrous piles trigger immediate reclassification
- Grade inconsistency: HMS 1 that fails the buyer’s thickness check gets repriced as HMS 2 on the spot
- Weighbridge discrepancy: your yard tare weight versus the buyer’s certified bridge at destination
Grading and segregating before the truck leaves is the only way to avoid a gate-side argument with no documentation to support your position.
The Mumbai Rate Pattern Most Sellers Miss
But that is only half the picture when reading the Maharashtra market.
Ship-breaking offcuts from Alang in Gujarat regularly enter the Mumbai market through Bhiwandi agents and compete directly with domestic HMS at the furnace gate. When Alang ship-breaking activity is high, Mumbai buyers reference Alang material landed cost as a benchmark to press domestic yard sellers down by Rs.1-3/kg. Sellers who do not track Alang port activity walk into those negotiations without context for why their quote is being pushed down.
Mumbai port demolition, metro construction, and coastal redevelopment projects generate large-volume structural steel lots 3-4 times a year. When these lots hit the Bhiwandi market, buyers can take 8,000-15,000 tonnes in a single week without touching the yard supply. That supply surge depresses structural scrap and demolition HMS rates across the city for 10-15 days before the market absorbs the volume. Yard sellers who try to move stock during these windows consistently close Rs.1-3/kg below the preceding week’s rate.
Beyond the city-specific pattern, Friday afternoon is consistently the weakest closing window across India. Induction furnaces reduce intake going into the weekend when maintenance staff is minimal, and buyers have no urgency to commit. Mid-week, Tuesday to Thursday morning, is when furnace intake calendars are being filled and buyers close at the stronger end of the weekly band. If you want to understand how steel plants decide their weekly scrap intake rates, that cycle is explained in detail.
Common Questions on Mumbai Scrap Rate
What is the scrap rate in Mumbai today?
Mumbai scrap rates in September 2026 range from Rs.24/kg for foundry-grade cast iron to Rs.42/kg for clean industrial steel mix from factory floors. HMS 1 at Bhiwandi and Taloja buyers is fetching Rs.28-34/kg, with rates subject to downward pressure when Alang ship-breaking material is in heavy supply.
How does Alang ship-breaking affect Mumbai scrap prices?
Alang in Gujarat is one of the world’s largest ship-breaking yards, and offcuts from there move through Bhiwandi agents regularly. When Alang activity is high, buyers use the lower landed cost of ship-breaking HMS as a negotiating benchmark against domestic yard scrap, often pushing domestic rates down Rs.1-3/kg.
Which area in Mumbai gives the best scrap rates?
Bhiwandi offers the most competitive rates due to high buyer density and multi-state supply aggregation. Taloja MIDC is strong for industrial-grade lots from Navi Mumbai factories. Turbhe rates are steady for MS sheet and clean structural scrap from MIDC units with documented factory sources.
When is the best time to sell scrap in Mumbai?
Avoid selling when large port demolition or metro construction lots are hitting the Bhiwandi market, as these depress structural scrap rates for 10-15 days. Mid-week closings on Tuesday to Thursday consistently clear at Rs.1-2/kg above Monday or Friday rates because furnace intake calendars are being filled mid-week.
If you want verified daily rates across Maharashtra alongside access to screened buyers, Steel Baba tracks city-level ferrous prices and connects sellers with buyers whose legitimacy has already been checked. The mistakes that cost sellers the most money in early deals are covered at scrap seller mistakes to avoid.
All figures above are indicative and subject to daily market movement; confirm current rates directly with your buyer or a local dealer before finalising any load as of 16 September 2026.