- Tight supply and costs drive price gains
- Strong steel demand sustains market momentum
India’s ferro vanadium market continues to exhibit robust momentum, supported by tight supply, strong demand from the special steel sector, and bullish sentiment. On 18 March 2026, prices surged by INR 31,500/t ($341/t) w-o-w, reaching INR 1,331,500/t ($14,394/t) ex-works Raipur, underscoring the resilience of the domestic market and firm pricing ahead.
Factors supporting the price rise
Tight raw material supply supports prices: Limited availability of vanadium feedstock is keeping the market firm. Suppliers remain cautious, holding back inventories in anticipation of further gains, which reinforces upward price pressure.
Indian producers remain optimistic, viewing current market conditions as supportive for near-term profitability. Most are exercising disciplined sales, carefully monitoring steel bidding trends and raw material flows before committing to large volumes, confident that tight supply will sustain elevated prices.
Active special steel demand reinforces market strength: Domestic special steel mills have gradually released procurement requirements, prompting increased inquiries. This surge in demand has encouraged manufacturers to raise quotations, while cautious selling by holders has reinforced price stability. The combination of firm demand and restricted supply has created a strong pricing environment across the market.
Outlook
Near term prospects for India’s ferro vanadium market remain strong, supported by consistent procurement from steel mills and limited raw material availability. In contrast, China’s softer demand and declining prices could exert mild downward pressure on global sentiment.
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