US-India Scrap Metal Trade: Complete Playbook & Databook

Executive Overview

Why the US–India scrap metal corridor is one of the most commercially attractive trade lanes a new Indian company can enter, backed by structural demand, policy tailwinds, and favorable economics.

India = #1 global scrap importer

$12.74B

FY24-25 total scrap imports. India is the world's largest importer of metal scrap, feeding a steel industry that relies heavily on EAF/induction recycling.

US = India's #1 ferrous source

$1.17B / 17.2%

The US is India's largest supplier of ferrous scrap (HS 7204), and also #1 for aluminum scrap (HS 7602, $828M).

Structural demand growth

89.6 → 164.9 MT

India crude steel production more than doubled over 2015–2025, driving insatiable demand for affordable ferrous feed stock.

Zero-duty ferrous imports

0% BCD

Ferrous scrap imports are exempt from Basic Customs Duty (through March 2026), a direct cost advantage for importers.

Policy tailwind

₹1,500 Cr

Critical Mineral Recycling Incentive (FY26–31) with a 20% capex subsidy, plus a National Critical Minerals Mission.

Trade corridor gap

$2.3B lane

No one owns the US-to-India scrap trade corridor specifically — inspection, logistics, documentation, and payment rails. That is the white space.

The strategic thesis in one sentence

India must import scrap at scale, the US is its most reliable, highest-quality source, policy incentives favor recycling, and the specialized trade infrastructure connecting the two is underbuilt — which is exactly where a new Indian private limited company can create margin.

Live Trade Data

Real-time and latest-month figures captured directly from the Observatory of Economic Complexity (OEC) India profile, June 2026 vintage. Live scrapers are wired to the data tables below and refreshable.

Monthly Exports (Jun 2026)

$40.4B

Up 14.9% YoY (+$5.24B) from $35.1B.

Monthly Imports (Jun 2026)

$70.8B

Up 31.4% YoY (+$16.9B) from $53.9B.

Trade Balance

−$30.4B

Negative balance in June 2026 — the US benefits from India's import appetite.

Top US export partner

$8.17B

India's largest export destination in June 2026 is the United States.

US share of India imports

$5.51B

India imported $5.51B from the US in June 2026 (3rd largest source, behind China & Russia).

Product level

$1.72B

Electric machinery & equipment exports; scrap sits lower in the value matrix but is volume-linked to steel growth.

Source: Observatory of Economic Complexity — India profile (live capture, Sept 2026). India is the world's 13th-largest exporter ($462B) and 8th-largest importer ($689B, 2024).

Why this matters for scrap trading

India's persistently negative trade balance and soaring import volumes across virtually every product category signal a deep, structural demand for raw materials — including ferrous and non-ferrous scrap. When crude steel production hits records, the scrap import bill follows. This is the macro backdrop that makes the corridor bankable.

Trade Flow — How a Container Moves

The complete physical and documentary chain from a US scrap yard to an Indian mill, with container economics.

US Origin

Scrap collected from auto-shredders, demolition, manufacturing, municipal recycling.
Graded and sorted at US yards (ISRI specifications).
Radiation screening & pre-shipment inspection (PSIC) at US origin.
Loaded into 20ft containers / breakbulk; trucked to US port.

Ocean Transit

Ocean bill of lading (B/L), export declaration (EEI via AES).
Freight: US Gulf/East Coast to Nhava Sheva/Mundra — ~30–45 days.
Insurance, incoterms (CIF/FOB/CFR) negotiated by contract.
Real-time container tracking.

India Arrival

Customs clearance on ICEGATE; SIMS registration for steel (60–7 days pre-arrival).
IGST 18% (reclaimable as input credit); ferrous BCD 0%; non-ferrous 2.5%.
Weighment, sampling, and customs assessment.
Delivered to Indian mill/foundry inventory (CIF + inland).

Container Economics (Ferrous)

Item	Value	Notes
Container type	20ft standard	24–26 MT per container — always weight-limited
Total landed cost	~$454/MT	Includes FOB, freight, insurance, handling, charges
Cost per container	~$11,350	24–26 MT × $454/MT
Ferrous margin	~$15/MT	~$375 per container
Non-ferrous margin	$100–400/MT	Copper/aluminum containers far more profitable per MT
Cash-to-cash cycle	50–60 days	Working capital locked until Indian payment clears

Where the real money is

Central scrap-economics insight: the profit is concentrated in mixed ferrous + non-ferrous containers. A single copper scrap container can yield the profit of ~25 ferrous containers. Winning traders actively blend and sort to maximize non-ferrous content per shipment while still moving ferrous volume for cash flow.

Key Market Players

The buyers, suppliers, and processors that define the corridor.

Company	Role	Scale / Note
JSW Steel	Buyer (EAF/BOF)	India's largest steelmaker; major scrap buyer via long-term imports.
Tata Steel	Buyer	Large integrated producer; imports metallics including scrap.
Jindal Steel & Power (JSPL)	Buyer	Growing scrap demand for DRI/EAF routes.
SAIL	Buyer	State-owned steel major; incremental scrap consumer.
Nucor (US)	Supplier/shredder	Largest US steel recycler; major ferrous scrap generator/consolidator.
SteelBro USA	US export consolidator	Mid-sized US scrap exporter active in Indian trade.
Eagle Transport / Sea-Link / Greenland America	US scrap brokers/logistics	US-side aggregation and shipment executives.
SIMS Metal Management, Radius Recycling, CMC, Steel Dynamics	US shredders/mills	Large US recyclers and mill buyers; indirect suppliers.

What a new entrant must decide

You will face two client universes: (1) US yards/consolidators who want reliable, well-documented buyers, and (2) Indian mills/foundries who want consistent, quality-graded, correctly-documented scrap at a landed price below local alternatives. Winning either requires solving the documentation-and-trust problem — exactly the gap a trade company exists to close.

Material	HS Code	India Global Imports	US Share	US Value	Duty (BCD)
Ferrous scrap	7204	~$6.8B (subject to FY cycle)	#1 @ 17.2%	$1.17B	0%
Aluminum scrap	7602	~$3.6B	#1	$828M	2.5%
Copper scrap	7404	~$1.7B	Top-3	Significant	2.5%
Lead scrap	7802	Growing battery recycling	Notable	Moderate	0%
Zinc scrap	7902	Moderate	Intermittent	Low	0–2.5%
Nickel scrap / alloys	7503	Moderate, specialty	Intermittent	Low	Varies

Data Visualization & Interactive Charts

Year-wise trade volumes, prices, and market structure as interactive charts. Hover for exact values. Series sourced from USGS, UN Comtrade, World Steel, and Fastmarkets.

India ferrous scrap imports (HS 7204) by year. Source: UN Comtrade / TrendEconomy. 2024-26 est.

India aluminum scrap imports (HS 7602) by year. Source: UN Comtrade.

India copper scrap imports (HS 7404) by year. Source: UN Comtrade.

US ferrous scrap exports to India (thousand MT). Source: USGS / US Census.

HMS 1&2 scrap price (CFR Turkey) annual averages. Source: Fastmarkets / USGS.

India crude steel production (MT) — the key scrap demand driver. Source: World Steel.

US Scrap Export Value & Volume

Total US ferrous scrap (HS 7204) export value, $B. Source: US Census.

US scrap export volume to India by ferrous/non-ferrous (million MT).

Business Model Analysis

Four primary models, ranked by speed to revenue, with full economics. A smart company sequences these rather than picking one — trade first for cash flow, then inspection, then platform, then finance.

Model 1: Scrap Aggregation & Trading

$400K–6M/yr

Time to revenue: 3–6 months
Startup cost: ₹25–50 lakh
Margin: $30–80/MT ferrous, $200–500/MT non-ferrous
How: Buy from 50+ small US yards, consolidate into containers, export to Indian buyers.

Model 2: Inspection & QA Service

$360K–1.8M/yr

Time to revenue: 4–8 months
Startup cost: ₹30–60 lakh
Margin: $200–500 per inspection
How: AI-based quality grading, radiation testing, PSIC issuance at US origin.

Model 3: B2B Trade Platform

$600K–2.4M/yr

Time to revenue: 6–12 months
Startup cost: ₹15–30 lakh
Margin: 1–3% transaction fee + subscriptions
How: Digital marketplace connecting US exporters with Indian importers.

Model 4: FX / Trade Finance Fintech

$900K–3.6M/yr

Time to revenue: 8–14 months
Startup cost: ₹10–15 Cr (capital intensive)
Margin: 0.5–1.5% FX spread + 12–18% APR
How: Escrow, FX hedging, working capital for scrap trade.

Revenue vs Startup Cost by Model

Why trade-first is the recommended entry

The trading model generates cash from the first shipment, requires no heavy licensing, and builds the exact relationships, data, and documentation muscle that a subsequent inspection business, B2B platform, and finance arm all depend on. Every other model is easier to build after you have live trade running.

The Complete Playbook

Every viable business model for an Indian private limited company in US-India scrap trade — from zero/low investment up to the highest-investment plays — with licenses, government support, and a time-to-market decision filter.

A. Time-to-Market Decision Filter

Use this to pick where to start. Low time-to-revenue and low capital are the fastest validators for a new entrant.

Model	Capital Needed	Time to First Revenue	Time to Scale	Risk	Recommendation
A. Trade Desk / Broker (agency)	~₹2–8 lakh	2–4 weeks	3–6 months	Low (no inventory)	START Fastest validation
B. Scrap Aggregation & Trading (inventory)	₹25–50 lakh	3–6 months	6–12 months	Medium	CORE
C. Inspection / QA / PSIC	₹30–60 lakh	4–8 months	12 months	Low (regulatory moat)	ADD High margin
D. B2B Marketplace	₹15–30 lakh	6–12 months	12–24 months	Medium (chicken-egg)	NEXT
E. FX / Trade Finance	₹8–15 Cr	8–14 months + RBI	18+ months	High (licensing)	LATER Capital heavy
F. Recycling Plant / Yard	₹5 Cr+	12–24 months	2–3 years	High (CAPEX)	LATER Needs subsidy

B. Full Model Menu (low → high investment)

Model A — Zero/Low-Investment Trade Desk & Brokerage

Capital: ~₹2–8 lakh. Time to revenue: 2–4 weeks. How: You act as a commissioned agent matching US exporters to Indian importers without taking inventory. Earn 0.5–2% commission per matched container on a finder-fee or per-shipment basis. No stock, no customs risk, minimal working capital.

Licenses: Company incorporation, IEC (DGFT), GST.
Proof: Brokerage is how most successful scrap traders start; it validates demand before risking capital. Commission-only removes price risk entirely.
Time-to-market: Fastest possible. Register, get IEC, list on B2B platforms, call importers.

Model B — Scrap Aggregation & Trading (Core)

Capital: ₹25–50 lakh. Time to revenue: 3–6 months. How: Buy from 50+ US yards, consolidate into containers, export CIF to Indian buyers. Margin $30–80/MT ferrous, $200–500/MT non-ferrous.

Full economics (Model 1 deep-dive, see SCRAP-EXPORT-DEEP-DIVE.md): total landed cost ~$454/MT; ~$11,350 per 20ft container; ferrous margin ~$15/MT ($375/container); non-ferrous $100–400/MT; Year-1 net loss ~$73,575 with breakeven around month 15; cash-to-cash 50–60 days; working capital $33.6K–100.8K.

Model C — Inspection, QA & PSIC Service

Capital: ₹30–60 lakh. Time to revenue: 4–8 months. How: Firm of third-party inspection / QA & analysis (FITI) at US origin: AI-based quality grading, radiation testing, and PSIC issuance required for Indian customs. $200–500/inspection, recurring and asset-light with a regulatory moat (DGFT PSIA approval).

Model D — B2B Cross-Border Marketplace

Capital: ₹15–30 lakh. Time to revenue: 6–12 months. How: Digital marketplace connecting US exporters to Indian importers. Revenue = 1–3% take-rate + subscriptions + value-added services (inspection, logistics, documentation, escrow). Comparables: MetalMandi/Attero, ScrapMitra, Buddy (tradebuddy.io), MetalBook, Reibus, ScrapAdvisor, ScrapMonster. Key challenge is the classic chicken-and-egg of two-sided markets — solved by launching on top of your own live trading volumes.

Model E — FX / Trade Finance Fintech

Capital: ₹8–15 Cr. Time to revenue: 8–14 months + RBI licensing. How: Escrow, FX hedging, and working-capital finance for the scrap trade. FX spread 0.5–1.5%; loan/SCF APR 12–18%. Direct payment/PA/PG licensing requires ≈₹25 Cr net worth, so the realistic path is to partner with TReDS, an IFSCA platform, or a GIFT City (M1 NXT) entity rather than build standalone. USD/INR forward hedging costs ~1.5–3% annually.

Model F — Recycling Plant / Yard (Highest Investment)

Capital: ₹5 Cr+. Time to revenue: 12–24 months. How: Own shredding / processing plant or yard, adding domestic value to imported and local scrap. This is where the ₹1,500 Cr Critical Mineral Recycling incentive (20% capex subsidy) and the PLI for specialty steel become relevant. Highest capex, highest long-term margin, but slowest payback.

C. Recommended Sequencing (low risk → scale)

Phase 1 (Months 1–3)

Trade Desk + First Containers

Incorporate, IEC, GST. Start brokerage, then 2–3 trial containers. Validate demand and documentation.

Phase 2 (Months 3–9)

Scale Trading + Add Inspection

Grow to 5–10 containers/month. Apply for PSIA approval and launch inspection/QA for other importers.

Phase 3 (Months 9–18)

Platform + Government Funding

Launch B2B marketplace on live volumes. Apply for ₹1,500 Cr recycling incentive, Seed Fund, CGSS guarantees.

Phase 4 (Months 18+)

Finance + Plant

Add escrow/FX via GIFT City/TReDS partnership. Consider a recycling plant once volume justifies CAPEX.

Licenses & Compliance Required

The complete list an Indian private limited company needs to legally trade scrap internationally. Official costs and timelines indicated; verify current rates with the issuing authority.

India-Side Requirements

Requirement	Authority	Cost	Timeline
IEC (Importer Exporter Code)	DGFT	₹500 (~$6)	1–5 days
Company Incorporation (Pvt Ltd)	MCA	₹15,000–25,000	7–15 days
DGFT Import License (restricted items)	DGFT	₹10,000–25,000	30–60 days
PSIC (Pre-Shipment Inspection)	DGFT-approved PSIA	₹5,000–15,000/shipment	Per shipment
MoEFCC Authorization	Min. of Environment	₹25,000–1,00,000	30–90 days
SPCB Registration	State Pollution Board	₹10,000–50,000	30–60 days
SIMS Registration (Steel)	Min. of Steel	Free	60–7 days before arrival
GST Registration	GSTN	Free	7–15 days
CPCB Authorization (hazardous)	Central Pollution Board	Varies	30–90 days
BIS Certification	Bureau of Indian Standards	₹25,000–1,00,000	90–180 days

US-Side Requirements

Requirement	Authority	Notes
FMC License	Federal Maritime Commission	If operating as NVOCC / shipping agent
EPA Registration	US EPA	If handling hazardous materials
State Scrap Dealer License	State govt (varies)	Required in most states for collection
ISRI Membership	Institute of Scrap Recycling Industries	Recommended for credibility
BIR Membership	Bureau of International Recycling	Global industry body
DOT Compliance	Dept. of Transportation	For inland transport of scrap
OSHA Compliance	Occupational Safety	Workplace safety at yards
BSA / AML	FinCEN	Cash transaction reporting >$10K

Import Duty Structure (India)

Ferrous Scrap

0% BCD

BCD exempt since 2021 Budget, extended through March 2026. SWS 0%, IGST 18% (reclaimable ITC).

Copper Scrap

2.5% BCD

Reduced from 5% in 2021. SWS 0.25%, IGST 18%. 2027 rule: 25% must stay domestic.

Aluminum Scrap

2.5% BCD

Industry lobbying for 15% uniform (AAI). Current rate favors importers. IGST 18%.

Lead / Zinc / Nickel

0–2.5%

Generally low. Critical mineral classification (2023-24) adds policy tailwind for imports.

Government Support & Funding

Every scheme, incentive, and grant available to a startup in the scrap/recycling/trade space.

Scheme	Ministry	Benefit	Amount	Eligibility	Link
Startup India (DPIIT Recognition)	DPIIT	Tax holiday, IP rebates, self-certification, govt procurement exemption	Free	Pvt Ltd, turnover <₹200Cr, <10 yrs	startupindia.gov.in
Section 80-IAC Tax Exemption	DPIIT/IMB	100% profit deduction 3 of first 10 years	Up to ₹100Cr t/o	IMB approval	startupindia.gov.in
₹1,500 Cr Critical Mineral Recycling Incentive	Min. of Mines	20% capex subsidy + opex incentive	Up to ₹25Cr (Group B)	Min ₹25Cr inv., 5K MT capacity, scrap/e-waste recycling	PIB Notification
Startup India Seed Fund (SISFS)	DPIIT	Grant + equity via incubators	Up to ₹50L	DPIIT-recognized via incubators	startupindia.gov.in/scheme
Credit Guarantee Scheme (CGSS)	DPIIT	Collateral-free loans, govt-backed	Up to ₹20Cr	DPIIT-recognized startups	startupindia.gov.in
Fund of Funds 2.0 (FFS)	DPIIT	Fund-of-funds via AIFs	₹10,000Cr corpus	VC/AIF backed	startupindia.gov.in
PLI for Specialty Steel	Min. of Steel	Production-linked incentives	₹6,322Cr outlay	Specialty steel manufacturers	steel.gov.in/pli
MUDRA Loan (Shishu/Kishor)	MSME	Collateral-free micro/small loans	₹10L / ₹50L	Micro/small businesses	mudra.org.in
RoDTEP (Export Incentive)	Commerce	Rebate of duties/taxes on exports	2–5% FOB	All exporters	cbic.gov.in
Stand-Up India	SIDBI	Loans for SC/ST/Women entrepreneurs	₹10L–1Cr	SC/ST/Women	standupindia.gov.in

Political & Institutional Outreach

Who to approach and how — verified official institutions, ministries, industry associations, and trade-delegation channels. These are "who to talk to" pathways, not fabricated personal phone numbers.

1. Ministries to Engage

Ministry / Body	Relevance	Official Channel
Ministry of Steel	Scrap policy, SIMS, PLI, steel demand data	steel.gov.in (Contact/citizen portal)
Ministry of Commerce & Industry / DGFT	IEC, import licensing, trade policy, PSIA	dgft.gov.in; TRADESTAT
Ministry of Environment, Forest & Climate Change (MoEFCC)	Non-ferrous/hazardous import authorization, EPR	moef.gov.in
Ministry of Mines	Critical Mineral Recycling incentive, National Critical Minerals Mission	mines.gov.in; PIB notifications
Ministry of MSME	MUDRA, Udyam registration, cluster support	msme.gov.in; udyamregistration.gov.in
NITI Aayog / DPIIT	Startup recognition, business-reform programs	startupindia.gov.in

2. Industry Associations & Trade Delegations

Association	Why	Official Channel
FICCI	India-US trade delegations, metals/recycling committees, business forums	ficci.in; India-US Business Forum
CII	Foreign trade & metals committees, delegation trips	1800 103 1244; cii.in
ASSOCHAM	Trade promotion, bilateral councils	assocham.org
PHDCCI	MSME trade facilitation, India-US initiatives	phdcci.in
MRAI (Material Recycling Association of India)	The scrap industry's own body — direct buyer/supplier network & policy voice	mrai.org.in; mail@mrai.org.in; WhatsApp +91 91521 25378
CAPEXIL / EEPC India	Export promotion councils for trade facilitation	eepcindia.org
ISRI (US) / ReMA	US scrap industry body for US supplier access & credentialing	202-662-8500; recycledmaterials.org

3. Government Consultation & Lobbying Channels

The correct, non-fabricated way to get institutional and political attention: (1) respond to public Draft Policy / DGFT public notices with written representations; (2) join FICCI/CII delegation trips to the US and industry sessions; (3) engage export promotion councils for market access support; (4) use the India-US Trade Policy Forum (TPF) and Bilateral Trade Agreement (BTA) consultations to flag scrap-trade barriers; and (5) apply for Steel PLI / Critical Mineral Recycling incentive which formally routes you to the relevant ministry desks.

4. State Industrial Corporations

Corporation	State	Relevance (scrap processing hubs)
GIDC	Gujarat	Mundra/Jamnagar recycling & foundry clusters
MIDC	Maharashtra	Nhava Sheva port-adjacent industrial land
APIIC	Andhra Pradesh	Visakhapatnam port & metal parks

Official Contact Directory

Verified official contacts for execution — licensing agencies, inspection bodies, ports, buyer associations, and US counterparts. Always dial the verification/first-contact numbers and confirm current details before relying on them.

Organization	Role	Contact / Channel
DGFT	IEC issuance, import licensing, PSIA	1800-572-1550 / 1800-111-550; dgftedi@nic.in; dgft.gov.in
CBIC / ICEGATE	Customs clearance	1800-3010-1000; icegatehelpdesk@icegate.gov.in; icegate.gov.in
SIMS (Steel Import Monitoring)	Steel scrap import registration	011-23213945; simshelpdesk@mstcindia.in; sims.steel.gov.in
MRAI	Industry body & key buyer network	mail@mrai.org.in; WhatsApp +91 91521 25378; mrai.org.in
ISRI / ReMA (US)	US scrap industry body	202-662-8500; recycledmaterials.org
ECGC	Export credit insurance	ecgc.in
Export-Import Bank of India	Trade finance	eximbankindia.in
US Census / USITC	US trade data + AES filing	800-549-0595 (Census); dataweb.usitc.gov
ITA / SIMA (US)	US steel import licensing	steel.license@trade.gov; trade.gov
CBP (US Customs)	US export clearance	877-CBP-5511; cbp.gov
US Embassy (New Delhi)	US-side commercial support	011-2419-8000; in.usembassy.gov
Indian Embassy (Washington DC)	India-side trade support	202-939-7000; com3.washington@mea.gov.in
DGFT PSIA List	Pre-shipment inspection agencies for scrap	dgft.gov.in (PSIA directory)
6 Major Ports	Nhava Sheva, Mundra, Chennai, Visakhapatnam, Kochi, Kolkata	Via port authority gates / customs houses

Important disclaimer

These are verified official switchboard/helpline channels compiled from CONTACT_DIRECTORY.md. Always call the primary number to confirm the correct desk, extension, or email before relying on them. We deliberately do not list personal mobile numbers or individual politicians.

Regulatory Landscape & Recent Policy

The timeline of policy that shapes the corridor — and keeps it favorable to importers.

Feb 2026

US-India Interim Trade Framework

US replaced 25% IEEPA duty with 18% reciprocal tariff. Scrap not directly impacted (US exports scrap). Source

Jun 2025

Section 232: 50% Tariff on US Steel/Aluminum Imports

Does not tax US scrap exports; actually supports domestic scrap supply by limiting steel imports. CRS Report

Jun 2025

SIMS Registration Window Updated

Steel importers register 60–7 days before vessel arrival; authorization valid 75 days. SIMS Portal

Sep 2025

₹1,500 Cr Critical Mineral Recycling Incentive

FY26-FY31. 20% capex subsidy, opex incentives. Startups eligible (Group B: ₹25Cr inv., 5K MT capacity). PIB Press Release

Feb 2024

PN 43/2023: Scrap Import Ports Expanded

18 → 19 ports allowed; PSIC-exempted ports 10 → 11. Eases logistics. DGFT Notification

Jan 2025

National Critical Minerals Mission

₹16,300 Cr proposed; 7-year horizon; copper classified critical mineral; 1,000 patents by 2030. PIB Document

Competitor Landscape

Who is already building in this space and what they are doing.

Company	HQ	Model	Scale	Funding	Key Differentiator	Links
MetalMandi (Attero) DIRECT	India (Delhi NCR)	AI scrap pricing + B2B marketplace	2L+ downloads, 15K MT/mo, 28 states	Well-funded (Series C+)	AI image grading (99.5%); targeting ₹10,000 Cr revenue. CNBC TV18	metalmandi.in
ScrapMitra INDIAN	Ahmedabad	B2B auction marketplace	6 categories, pan-India	Early stage	Timed auctions, ₹0 listing, real-time bidding	scrapmitra.in
Buddy GLOBAL	New Zealand	B2B scrap marketplace	19 countries, 100+ buyers	Pre-seed (GD1)	FX, freight, trade-finance integrations. tradebuddy.io Recycling Today	tradebuddy.io
NowPurchase INDIAN	Kolkata	Procurement platform for metals	Growing	Series A	End-to-end procurement for foundries/mills	nowpurchase.com
MetalBook INDIAN	India	Pricing data + content + marketplace	Active	—	Real-time metal prices, 50+ grades tracked	metalbook.com
Reibus US	Atlanta, US	Industrial metals marketplace	Growing	Series A ($14M)	US-focused industrial metals, not scrap-specific	reibus.com
JSW One MSME ENTERPRISE	India	B2B platform (JSW Group)	$23B conglomerate	JSW funded	Steel/metal procurement for MSMEs	jswone.in

The gap no one has filled

MetalMandi owns domestic Indian scrap pricing. ScrapMitra handles domestic B2B auctions. Buddy targets global recycling trade. But nobody owns the US-to-India scrap trade corridor specifically — the inspection, logistics, documentation, and payment rails for this $2.3B bilateral flow. That is the white space.

Implementation Roadmap

The hybrid model: start with trading, add inspection, then build the platform.

Month 1–2: Foundation

Register & License

Incorporate Pvt Ltd (₹20K) → DPIIT recognition (free) → IEC from DGFT (₹500, 5 days) → GST (free) → DGFT Import License (₹25K, 30–60 days) → MoEFCC authorization for non-ferrous.

Month 2–3: US Network

Build Supplier Relationships

Visit/call 50+ small US yards (Virginia, Seattle, Chicago) → negotiate pricing → set up trucking-to-port → establish PSIC with a DGFT-approved inspection agency at US origin.

Month 3–4: Indian Buyers

Secure Offtake

Connect with 10+ Indian buyers (Gujarat, Maharashtra, Tamil Nadu) → CIF terms → LC/escrow → SIMS registration for steel.

Month 4–6: First Shipment

Launch Trading

First container/breakbulk → 25–30 MT ferrous @ $40/MT margin ≈ $1,000–1,200 profit → scale to 5–10 containers/month → $5K–12K/month revenue.

Month 6–9: Add Inspection

Launch QA

Apply for DGFT PSIA approval → AI grading → offer inspection to other importers → $200–500/container → +$5K–15K/month.

Month 9–12: Platform MVP

Build B2B Marketplace

Use trading data → onboard 50+ US suppliers, 20+ Indian buyers → 1–2% transaction fees → raise seed round on traction.

Month 12–18: Scale

Growth & Funding

Apply for ₹1,500 Cr recycling incentive + Seed Fund → scale to 50 containers/month → add FX/escrow → revenue target ₹5–10 Cr/year.

Total investment needed: ₹25–50 lakh ($3K–6K)

Enough to incorporate, license, ship 2–3 trial containers, and build an MVP. Trading generates cash from month 4–5, making the venture largely self-funding after initial capitalization.