Indian producers of Ferro Chrome have had to cut their offers for the domestic market to solicit trade. The mainstream price of HC Ferro Chrome 60% min. is around INR 74,000/MT, with few producers deciding to hold on to their inventory and few buyers willing to wait till prices go down further. A producer source remarked that the prices are under pressure as producers have no option but to offer aggressively to clear their stock.
Export offers for India-origin High Carbon Ferro Chrome (58-60% Cr, 6-8% C) was pegged back at 77 cents/lb CFR China, down from 79 cents/lb CFR China a week ago amid weak sentiment. Export offers have come under pressure this week, but several industry participants indicated despite offer levels falling to 77-78 cents/lb trade is still not picking up from China. The domestic Chinese spot price of High Carbon Ferro Chrome (50% Cr) was pegged at Yuan 6900/Mt, delivered to factory and tax included, which is roughly equivalent to 77 cents/lb. Indian suppliers were less willing to lower offers to buyers in China, compared with a few months ago, due to the recent appreciation of the Indian rupee against the dollar, said an Indian producer. Sentiment in the market was mostly weak as the Chinese stainless steel industry — the largest consumer of Ferro Chrome — remained lacklustre.
The spot price of high-carbon lumpy Ferro Chrome exported to Japan was flat W-o-W at 84 cents/lb CIF Japan because of an absence of reported offers, bids or deals. An Indian producer revealed that they saw no spot inquiries for the lumpy material as buyers appeared to have satisfied their requirements last month and are patiently watching the market from the sidelines.
SteelMint learned that most market participants hold a pessimistic outlook towards the future market trend.
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