- Bhutan’s monthly prices anchor Indian rates this week
- China’s prices steady on balanced supply-demand trends
Indian ferro silicon (70%) prices remained unchanged on 12 January against the previous assessment on 5 January. The price stability could be attributed to steady trading activity, as most deals were concluded at Bhutan’s announced prices for January, that is, INR 94,000/t ($1,042/t) exw.
Ferro silicon prices in India were at INR 94,000/t ($1,042/t) exw-Guwahati, as per BigMint’s assessment on 12 January. In Bhutan, prices slipped marginally by INR 100/t ($1/t) w-o-w to INR 93,900/t ($1,040/t) exw. Approximately 2,500 t was traded in both regions during the assessment window within the price bracket of INR 93,500-94,000/t ($1,036-1,042/t) exw.
Market highlights (6-12 January 2026)
Steady trade supports Indian prices: The Indian ferro silicon market remained largely stable, with no major changes across the key trading hubs of Guwahati and Bhutan. Bhutan’s January prices set the market tone, and trading activity was concentrated around this level. However, in South India, sellers quoted slightly higher, as is usually the case, with offers largely ranging between INR 97,000-98,500/t ($1,075-1,091/t) exw.
Overall, steady supply and demand dynamics prevented any significant fluctuations in ferro silicon prices.
China’s market remains stable: Ferro silicon (Si:75%) prices in China remained flat w-o-w at RMB 5,750/t ($824/t) ex-Inner Mongolia. On the cost side, prices of coal, the key raw material, were unchanged, providing firm cost support. Meanwhile, operating rates at ferro silicon plants increased slightly, leading to a marginal rise in output, though overall supply pressure was manageable.
Notably, output had fallen by 3.6% m-o-m in December to 0.45 million tonnes (mnt), with smelters’ stocks falling by 11.4% to 63,610 t, as per Mysteel. Lower production in December and, consequently, tighter inventories also contributed to price stability in the first two weeks of this month.
On the demand side, the market remained in the pre-spring festive off-season. Buying activity from the steel sector was steady, supported mainly by need-based demand from end-users. As the earlier subdued market sentiment improved, traders were more inclined to keep prices firm, contributing to stable market conditions. However, muted demand and expectations of new capacity in 2026 kept overall sentiment cautious.
ZCE futures edge up w-o-w: Ferro silicon futures on the Zhengzhou Commodity Exchange (ZCE) for March 2026 delivery edged up by RMB 74/t ($11/t) w-o-w to RMB 5,698/t ($817/t) on 12 January 2026 compared to RMB 5,624/t ($807/t) on 5 January 2026.
Outlook
Prices are expected to stay at the current levels in the coming week. Some downward corrections may occur if trading activity slows down.
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