- Secondary buyers sustain trade amid absence of major mills
- Rising container freight charges pressure export realisations
Indian high-carbon ferro chrome (HC 60%, Si: 4%) prices stayed largely stable, dropping marginally by INR 400/tonne (t) ($4/t) w-o-w to INR 122,800/t ($1,288/t) exw-Jajpur on 8 July 2026. Prices remained steady amid unchanged market conditions.
Deals for around 3,000 t were concluded last week within the price bracket of INR 121,000-124,000/t ($1,269-1,301/t) exw.
Prices of other ferro chrome variants — low-silicon high-carbon, low-carbon, and low-phosphorus material — also fell marginally.
Market recap (2-8 July)
Secondary buyers sustain market activity: India’s ferro chrome market remained largely stable during the week, despite the absence of major stainless steel producers. Trading activity was supported by purchases from smaller consumers, who continued procuring material at previous prevailing prices. The marginal decline in prices was mainly attributed to buyer-seller negotiations, along with adjustments in sizing premiums and credit terms, rather than any significant shift in market fundamentals. Routine spot transactions helped sellers maintain steady market sentiment and prevented sharper price corrections.
Meanwhile, the export market remained subdued, with limited buying interest from overseas customers. Rising container freight charges further pressured export realisations, reducing the competitiveness of Indian suppliers in global markets. Overall, domestic demand from secondary buyers provided sufficient support, keeping the ferro chrome market balanced during the week.
Monsoon slows stainless steel market recovery: Prices of 304-grade stainless steel hot-rolled coils (HRCs) edged lower by INR 1,000/t ($10/t) w-o-w to INR 213,000/t ($2,234/t) exw-Mumbai. The market remained weak due to sluggish downstream demand, monsoon disruptions, and volatile raw material prices. Buyers continued purchasing only for immediate needs, while mills offered discounts and reduced prices to boost sales amid weak order bookings and rising inventories. Flat product prices declined as competition intensified, and long products also remained under pressure due to slow demand from the construction and engineering sectors.
Export enquiries stayed limited as weak global demand and geopolitical uncertainties kept overseas buyers cautious. In China, stainless steel demand remained subdued despite stable spot prices supported by controlled production and manageable inventories. The Indian market is expected to stay under pressure throughout July, with demand likely to improve only after the monsoon season.
Ample supplies limit Chinese price recovery: China’s ferro chrome market remained stable, with prices holding steady despite weak overall sentiments. High port inventories of South African chrome ore continued to pressure raw material prices, reducing production cost support for ferro chrome producers. Trading activity stayed sluggish as stainless steel mills reduced tender prices and maintained cautious, need-based procurement. Many traders offered discounts to clear inventories and improve cash flow.
On the demand side, the stainless steel sector remained in its seasonal slowdown, with several mills carrying out maintenance and reducing production. Looking ahead, the ferro chrome market is expected to remain weak, as ample supply, declining chrome ore prices and subdued stainless steel demand are likely to limit any significant price recovery.
Outlook
India’s ferro chrome market is expected to remain largely stable in the coming week. Weak stainless steel demand during the monsoon season and subdued export enquiries are likely to keep buying activity cautious, with procurement continuing on a need-based basis. However, routine purchases from secondary consumers and stable domestic trading are expected to provide support, limiting any sharp price decline. Market participants will closely monitor post-monsoon stainless steel demand, export opportunities and chrome ore price trends for clearer market direction.
Leave a Reply