Ferro chrome prices holds steady after last week’s fall.
Indian high-carbon ferro chrome price has remained steady this week, but sources expect the weak stainless steel market to weigh on ferro chrome prices. Currently grade 60% deals have been concluded in the range of INR 60,000-60,500/MT (Ex-Odisha) and INR 61,000/MT (Ex-Raigarh). Indian stainless steel producers are having a hard time, and are very price-conscious, as they have to reduce procurement costs as much as they can to stay competitive.
An official with a major ferro chrome producer voiced concerns about how much longer Indian producers can afford to concede on prices and still continue to operate. He further predicted that once producers succumb to the persistent pressure of stainless mills, and the oversupply is corrected, can only the ferro chrome market bounce back.
Japanese Market
The Japanese spot import price of 60% grade was assessed at 72-73 cents/lb CIF
Japan, unchanged from last week and down from 74-75 cents/lb CIF two weeks ago.
A Japanese trader said offers from India were in the range of 73-75 cents/lb CIF minor Japanese port, which was 72-74 cents/lb normalized to CIF major port.
Another Japanese steelmaker bought 800 MT of minimum 58% chrome material last week at 70-71 cents/lb CIF main Japanese port.
On the above mentioned deal an Indian producer said, “The question is how many spot sellers were willing to drop to 70-71 cents/lb CIF”.
Chinese Market
The spot import price of Indian 58-62% high-carbon ferro chrome was assessed at
70-71 cents/lb CIF China, unchanged from last week and down from 72-73 cents/lb two weeks ago. South African 48-52% charge chrome was assessed at 70-73 cents/lb CIF China, flat from last week and down from 71-73.50 cents/lb two weeks ago.
There was no deal reported as trading remained absent after the week-long holiday in China over October 1-7.
An Indian producer said there was buy interest at 69-70 cents/lb CIF China, but he was not offering spot cargoes this week.
In China, Baosteel set its October ferro chrome purchase price at RMB 6,000/MT (USD 746/MT), down from RMB 6,150/ MT in September.
Exchange Rate: USD 1 = INR 64.8
Leave a Reply