Domestic offer price for HC Ferro Chrome is relatively unchanged, but is facing downward pressure due to weak demand. The mainstream price for HC Ferro Chrome 60% min. is ranging between Rs 64,000 – 65,000 /MT (Ex-Works Basis).
A manufacturer based in Central India remarked, “The prices for HC Ferro Chrome are unlikely to rise as per the demand and prices in the Stainless Steel industry remains weak.” The current price of HC Ferro Chrome Ex-Raigarh stands at Rs 66,000 /MT.
No deals in the export market could be confirmed, and export offers for Indian-origin High Carbon Ferro Chrome (58-60% Cr, 6-8% C) was pegged back at 85-87 cents/lb CFR China, down from 86-88 cents/lb CFR a week ago, in line with weaker demand and lower Chinese domestic prices.
Major Chinese mills Shanxi Taigang Stainless Steel and Jiuquan Iron & Steel dropped their August purchase price for High Carbon Ferro Chrome (50% Cr) to Yuan 6,750/MT (equivalent to 83 cents/lb) this week, down by Yuan 50-100/MT from July.Baosteel also cuts its August bid by Yuan 50/MT to Yuan 6,900/MT.
Chinese domestic spot prices also corrected by Yuan 100/MT (US$16.3) to Yuan 6,900-7,100/MT (85-87 cents/lb). Chinese buyers have retreated from the Ferro Chrome import market as they expect prices to fall after local manufacturers of Stainless Steel bid lower for August deliveries.
There was no inquiry from Japanese buyers in the week gone by.
Market sources expect HC Ferro Chrome domestic sales volume to remain lackluster and prices could be under pressure due to scant Chinese demand.
Whereas, E-auction for Chrome Ore by OMC is scheduled to take place today and results are likely to be announced tomorrow, and Ferro Chrome producers are expecting a definite price correction in sight of the current market scenario.
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