Every scrap conversation eventually comes down to two words: ferrous and non-ferrous. They decide which buyer wants your material, how it is processed and, most importantly, how much it is worth. A truck of mixed scrap where copper and brass are hidden among iron can be worth far less than the same material sorted. This guide explains the difference and how to sort industrial scrap.
What is ferrous scrap?
Ferrous scrap is metal whose main component is iron. It is generally magnetic (with exceptions such as some stainless steels). It is consumed mainly by steel mills, induction furnaces and foundries.
Common ferrous scrap types:
- Mild steel (MS): Structural sections, plates, sheets, pipes, rods.
- HMS 1 and 2: Heavy melting scrap grades used in trade.
- Cast iron (CI): Machine beds, engine blocks, pump casings, pulleys.
- Turnings and borings: Machining chips.
- Rails and wheels: Railway steel.
- Alloy steels: Tool steels, high-speed steel, special alloys.
- Stainless steel: Technically an iron alloy, but traded separately because of its nickel and chromium content.
What is non-ferrous scrap?
Non-ferrous scrap is metal that does not contain iron as its main component. It is generally non-magnetic and more resistant to corrosion. It is consumed by smelters, refiners, die-casters, wire-rod mills and alloy producers.
Common non-ferrous scrap types:
- Copper: Wire, cable, bus bars, windings, tubes.
- Brass: Valves, fittings, turnings (copper–zinc alloy).
- Bronze and gunmetal: Bushes, bearings, impellers (copper–tin alloys).
- Aluminium: Extrusions, sheet, castings, cable, radiators.
- Lead: Batteries, sheets, cable sheathing.
- Zinc: Die-castings, galvanising residues.
- Nickel alloys and titanium: Specialised industrial uses.
Price difference
Non-ferrous metals are scarcer and costlier to produce from ore, so their scrap is worth much more per kg.
| Category | Material | Indicative ₹/kg (industrial lots) |
|---|---|---|
| Ferrous | MS / HMS | 28 – 34 |
| Ferrous | Cast iron | 24 – 29 |
| Stainless | SS 304 | 100 – 115 |
| Non-ferrous | Aluminium | 140 – 190 |
| Non-ferrous | Brass | 380 – 430 |
| Non-ferrous | Copper | 580 – 660 |
So 100 kg of copper hidden in a ferrous load can be worth more than a tonne of iron. That is why segregation matters so much.
Cast iron vs mild steel
Both are ferrous, but they differ:
| Mild steel | Cast iron | |
|---|---|---|
| Carbon content | Low (generally under 0.3%) | High (around 2–4%) |
| Behaviour | Bends and deforms | Brittle, breaks with granular grey surface |
| Typical items | Plates, sections, pipes | Machine bodies, castings, pump housings |
| Main buyers | Steel mills, induction furnaces | Foundries |
| Pricing | Separate MS rates | Separate CI rates |
Mixing them forces the buyer to sort or price conservatively.
Simple sorting tests
1. Magnet test
- Strongly magnetic: ferrous (MS, CI, 400-series stainless).
- Non-magnetic: non-ferrous, or austenitic stainless (304, 316).
- A pocket magnet is the most useful scrap tool you can own.
2. Colour
- Copper: Reddish-brown; green patina when oxidised.
- Brass: Yellow to golden.
- Bronze/gunmetal: Brownish-gold.
- Aluminium: Silvery white, light.
- Lead: Dull grey, very heavy, soft.
- Stainless: Bright silver, resists rust.
- Iron/steel: Grey; rusts reddish-brown.
3. Weight
- Aluminium is light for its size.
- Lead is extremely heavy.
- Copper and brass are heavy.
4. Scratch test
Scratch the surface to see the true colour under paint or tarnish.
5. Fracture test (for cast iron)
Broken cast iron shows a grey, granular surface; steel bends rather than breaks.
6. Professional tools
XRF analysers identify alloys precisely, and spot test kits detect nickel and molybdenum.
Why segregation pays
- Higher rates: Each grade earns its own price.
- Fewer deductions: Buyers don't need to charge for sorting.
- Wider buyer base: Mills, foundries and smelters each buy what they need.
- Faster sale: Clean lots sell quickly.
- Better records: Clear quantities by grade for accounting.
Setting up segregation in a factory
- Provide separate labelled bins for MS, CI, stainless, copper, brass, aluminium and mixed.
- Keep magnets at each scrap point.
- Train maintenance teams to separate motors, cables and fittings.
- Store non-ferrous metals in a locked area.
- Review bins weekly.
Mixed items
Some items combine ferrous and non-ferrous:
- Motors: Iron body and core with copper or aluminium windings.
- Radiators: Aluminium fins with copper tubes, or brass and copper.
- Valves: Brass bodies with iron handles.
- Cable: Copper or aluminium with steel armour.
These can be sold as-is at a mixed rate, or dismantled to separate metals for higher overall value.
A worked example: one truck, two outcomes
A maintenance department in Ghazipur fills a truck with 8 tonnes of "scrap" after a plant overhaul: MS pipes and angles, a few cast iron pump bodies, motors, brass valves, aluminium covers and copper earthing strips.
Outcome A: sold mixed. The buyer looks at the heap, estimates that most of it is iron, and offers a single mixed ferrous rate with a deduction for "contamination". The non-ferrous metals effectively go for iron prices.
Outcome B: sorted first. The team spends a day with magnets and gloves. They separate about 6.2 tonnes of MS, 900 kg of cast iron, 450 kg of motors, 180 kg of brass valves, 220 kg of aluminium covers and 50 kg of copper strip. Each grade is quoted separately.
The non-ferrous portion is only about 450 kg, roughly 6% of the weight, yet in Outcome B it contributes a large share of the total value. One day of sorting pays for itself many times over.
Quick identification table
| Test | Ferrous | Non-ferrous |
|---|---|---|
| Magnet | Sticks strongly (except austenitic stainless) | Does not stick |
| Rust | Reddish-brown rust | Green patina (copper), white oxide (aluminium), dull grey (lead) |
| Weight | Medium-heavy | Aluminium light; copper, brass, lead heavy |
| Common forms | Plates, beams, castings | Wire, fittings, extrusions, radiators |
| Main buyers | Steel mills, foundries | Smelters, refiners, die-casters |
Segregation checklist
- Magnets at every scrap point.
- Labelled bins for MS, CI, stainless and each non-ferrous metal.
- Motors, cables and valves routed to a separate store.
- Weekly bin review by the scrap in-charge.
- Sell each grade separately with written rates.
Glossary of common scrap terms
- Ferrous: Iron-based metals such as mild steel and cast iron.
- Non-ferrous: Metals without iron as the main element, such as copper, brass, aluminium, lead and zinc.
- Alloy: A mixture of metals, such as brass (copper and zinc).
- Turnings: Chips from machining.
- Segregation: Separating scrap by metal and grade.
- Yield: The share of usable metal recovered after melting.
A simple rule of thumb
If a magnet sticks firmly, the item is almost certainly ferrous and belongs in the iron bins, unless it is a stainless item you can identify from records. If a magnet does not stick, stop and look closer: that piece could be worth ten to twenty times as much per kilogram as the iron around it. Training every maintenance technician to make that one check before throwing something into a scrap bin is the cheapest improvement most factories can make.
Where each type goes after you sell it
Mild steel and HMS go to induction furnaces and electric arc furnaces to make billets and bars. Cast iron goes to foundries for new castings. Copper goes to refiners and wire-rod mills, brass to brass rod and fittings makers, and aluminium to secondary smelters and die-casters. Knowing the end user explains why each buyer cares about different contaminants.
Safety while sorting
Wear gloves and safety shoes, keep sharp pieces away from walkways, and never cut open closed containers without checking what they held.
Mixed lots on a marketplace
If you cannot sort everything, describe the mix honestly with estimated percentages so buyers can price it fairly.
How Kabadi24 handles mixed lots
Kabadi24 sorts and grades mixed industrial scrap on-site, separating ferrous, stainless and non-ferrous materials, and quotes each grade in writing. Through our marketplace, sorted lots reach the right buyers across India: mills for MS, foundries for cast iron, smelters for non-ferrous.
Conclusion
Ferrous scrap is iron-based, magnetic and sold in volume; non-ferrous scrap is iron-free, usually non-magnetic and much more valuable per kg. With a magnet, a little knowledge and labelled bins, any factory can sort scrap properly and earn significantly more.