High Carbon Ferro Chrome prices in the domestic market were assessed unchanged as buyer’s absence constrained trading activity.

Indian High Carbon Ferro Chrome prices continue to be on the same level this month on low demand from end-users. Current price for HC Ferro Chrome (60% Grade) is settled in the range of INR 71,500-72,000/MT (Ex-Works Odisha) and INR 72,000/MT (Ex-Raigarh). Most market participants are waiting for results of chrome ore auction which was held on 10 Feb, 2014 for clearer market direction.

[su_quote]A trader based in Odisha stated, ”The market has been really weak this month but I expect market to get better in the next month.”[/su_quote]

Prices offered by FACOR Alloys could not be confirmed and the Ferro Alloy maker has declared a lockout at its plant in Andhra Pradesh, following agitation by workers. The ongoing agitation by lorry loading workers has badly hit plant operations due to acute shortage of raw material. Also, with disruption of further supplies of raw materials to the plant, the existing raw material stock available in the plant has exhausted and the operations at the plant have been put to a complete halt, since night shift of 10 Jan, 2014.

Chinese Market

The domestic spot price of high carbon Ferro Chrome (50% basis Cr) in China stood at RMB 6,750- 6,900/MT (84-86 cents/lb), unchanged from 29 Jan, 2014 amid a lack of trading activity following the week-long Lunar New Year holiday. Although the holiday in China is officially, some companies reopen their offices after 14 Feb, 2014 which is the 15th day of the new lunar year. The spot price for Indian-origin High Carbon Ferro Chrome (58-60% Cr) was assessed at 84-85 cents/lb CIF China, and that for South African charge Chrome (48-52% Cr) at 83-84 cents/lb CIF China, both unchanged W-o-W.

[su_quote]“The Ferro Chrome market is still quiet after the holidays. Trading has not picked up yet,” reported a trader from Kolkata.[/su_quote]

SteelMint assessed that prices are likely to remain stable next week even as more industry participants return to the market, and there is little change to Ferro Chrome production costs, chrome ore prices and stainless steel price.

[su_quote]A Ferro Alloy trader from India stated, ”My company did not close any deals this week, but received a number of inquires.”[/su_quote]

Market participants reported there are few inquires so far this week as customers do not seem to be in hurry to buy, with demand inadequate and prices may be under pressure next week.

Most producer sources said that they were awaiting China’s return, with that the Ferro Chrome market is likely to be active in the next month and there will be an improvement in demand.

Exchange Rate: USD 1= INR 62.42