- Imports drop 36% m-o-m in Aug’25
- SAIL may conduct reverse auction next week
Indian ferro silicon (70%) prices stayed largely stable last week, edging down slightly by INR 600/t ($7/t) as compared to the previous assessment on 15 September. Trading was largely quiet, as the majority of sellers were out of the market.
Ferro silicon prices in India were INR 88,400/t ($996/t) exw-Guwahati, as per BigMint’s assessment on 22 September. Bhutan’s prices too held steady w-o-w at same levels. Around 400 t of deals were reported to BigMint last week in both the regions within a price bracket of INR 87,000-90,000/t ($981-1,014/t) exw.
Market highlights (16-22 September)
Prices supported by demand, lower imports: Ferro silicon prices remained stable as the majority of sellers on both sides were already sold out and were focused on supplying previously booked orders. With steady demand in the market, prices showed no major fluctuations. India’s imports also dropped sharply by 36% m-o-m in August to 15,799 t compared with 21,564 t in July, which led to increased inquiries in the domestic market and helped support price levels.
South Indian sellers too maintained steady offers, keeping prices unchanged w-o-w in the range of INR 92,000-94,000/t ($1,037-1,059/t) exw-Vizag. Overall, limited availability, lower imports, and firm domestic demand created a balanced market sentiment, ensuring stability in pricing despite some buyers resisting higher offers.
Uptick in Chinese prices: Ferro silicon (Si:75%) prices in China edged up by RMB 100/t ($14/t) w-o-w to RMB 5,760/t ($810/t) exw-Inner Mongolia. On the demand side, recovery was slow, as weak buying from the steel industry limited any price rise. Falling lignite prices also reduced cost support. Steel mills restarted production at a slow pace, keeping ferro silicon demand weak. In the short term, ferro silicon prices are expected to stay volatile, with risks of decline unless demand shows a clear improvement.
Imported silicon metal prices to India from China (grade 553, Si:98.5%) stayed steady w-o-w, inching up by $10/t w-o-w to $1,380/t CFR Mundra on 22 September.
ZCE futures hold firm: Ferro silicon futures on the Zhengzhou Commodity Exchange (ZCE) for November delivery remained largely stable, edging down slightly by RMB 8/t ($1/t) w-o-w to RMB 5,692/t ($800/t) on 22 September.
Outlook
Ferro silicon prices are likely to hold steady in the coming days with slight variations expected. As per sources, SAIL’s reverse auction for 14,600 t is likely to be conducted next week, which will provide further clarity on prices.
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