Domestic ferro chrome prices have been rising since the past few weeks amid hike in enquiries due to improved domestic stainless steel production.
According to SteelMint assessment on 6 October, producers were offering at around INR 96,000-97,000/t on exw basis in Odisha. However, buyers were reluctant with the festive holidays approaching.
Market highlights
Indian smelters reported decent enquiries from domestic stainless steel producers, but not much was translated into orders this week as transportation was disrupted owing to the Durga Puja and Dussehra holidays.
On the other hand, producers kept their prices on the higher side as they anticipated good enquiries from China after the Golden Week Holidays.
Indian stainless steel (304 grade) HRC prices remained stable at INR 245,000/t exw-Mumbai, with a marginal hike seen w-o-w, as assessed on 4 October. Stainless steel supply issues amid moderate demand during the festive season kept ferro chrome prices supported.
Outlook
Market participants anticipate demand to surge in the coming weeks as end users will start restocking before the Diwali holidays in the apprehension that transportation could get impacted during the festival. This is expected to trigger a rise in domestic ferro chrome prices.
Leave a Reply