- Ample inventories, uncertain demand outlook weigh on demand
- Chinese vanadium pentoxide prices fall, reducing cost support
Indian ferro vanadium prices declined by INR 17,000/t ($180/t) w-o-w to INR 1,400,000/t ($14,812/t) ex-works Raipur on 29 April 2026, amid weak buying interest and softening global cues.
Factors impacting prices
Producers face pricing pressure: Producers faced mounting pressure as weak market acceptance disrupted sales momentum. Difficulty in closing deals at higher offers led to rising inventories and reduced cash flows. The decline in Chinese vanadium pentoxide prices further weakened export competitiveness, forcing producers to reduce quotes. This combination of subdued demand and global price softness significantly constrained their ability to sustain previous price levels.
Buyers adopt cautious procurement strategy: Buyers remained largely inactive, supported by adequate inventory levels and uncertain downstream special steel demand. Many preferred deferring purchases, anticipating further corrections in line with global trends. The fall in Chinese benchmarks reinforced negative sentiment, limiting bulk bookings. Procurement was mainly restricted to urgent needs, reducing overall trading activity and liquidity, which in turn added sustained downward pressure on ferro vanadium prices.
Outlook
BigMint expects ferro vanadium prices to remain under pressure in the near term, tracking global trends and cautious buying. However, any recovery in steel demand or Chinese prices could stabilise sentiment.
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