- Higher production in China reduce export demand
- Bids decline m-o-m at Vedanta-FACOR’s auction
Indian high-carbon ferro chrome (HC 60%, Si: 4%) prices fell slightly by INR 500/t ($5/t) w-o-w to INR 119,100/t ($1,249/t) exw-Jajpur on 13 August 2026. Domestic demand remained subdued and export inquiries were weak, leading to pressure on sellers.
Deals for around 1,000 t were recorded by BigMint in this assessment week within the price bracket of INR 119,000-120,600/t ($1,248-1,265/t) exw.
Low silicon and low carbon ferro chrome prices declined as well. However, low phos ferro chrome prices went up by INR 900/t ($9/t) w-o-w to INR 128,400/t ($1,347/t) exw-Jajpur amid limited offers.
Market updates (6-12 August)
Weak Asian demand dampens exports: India’s ferro chrome export market remained largely subdued last week. Softer Chinese domestic prices weighed on export realisations, with prices declining by 1 cent/lb w-o-w to 93 cents/lb CNF.
Meanwhile, Chinese high-carbon ferro chrome production rose for the third consecutive month in July, reaching a record 997,500 t, up 4.8% m-o-m, according to Mysteel. Higher output was supported by improved hydropower availability during the rainy season in southern China and elevated stainless steel production, which sustained ferro chrome demand and smelter operating rates.
However, overall market sentiment remained weak amid sluggish stainless steel demand, ample supply, and limited buying urgency. Key Asian markets, including Japan and South Korea, also remained largely inactive, further weighing on export prospects.
Domestic prices decline amid limited buying: Indian ferro chrome prices remained under pressure amid subdued export demand and sufficient material availability in the domestic market. With buyers showing limited urgency, producers reduced offers to sustain sales and maintain operating rates. The absence of a major domestic buyer, which typically procures around 3,000-4,000 t/month, further weighed on overall buying interest.
Meanwhile, Vedanta-FACOR conducted a ferro chrome auction yesterday, with the entire offered quantity sold. The lumps lot (Cr: 57% min, 10-150 mm) fetched an H1 price of INR 119,850/t ($1,257/t) exw, INR 2,100/t ($22/t) above the base price of INR 117,750/t ($1,235/t). However, the H1 realisation was INR 1,550/t ($16/t) lower than the previous auction on 15 July, indicating continued pressure on market prices.
Indian stainless steel prices stay firm: Prices of 304 grade stainless steel HRCs were unchanged w-o-w at INR 218,000/t ($2,287/t) exw-Mumbai. India’s stainless steel finished market showed mixed trends in the week ended 12 August 2026, with firm flat prices and higher long product prices. Healthy domestic demand, tight availability and reduced import flows continued to support the market, while volatile nickel prices, elevated freight costs, and geopolitical tensions kept sentiment cautious.
Finished flat sellers remained firm, with major mills reportedly withdrawing discounts, while buyers increasingly relied on domestic material as Chinese imports remained limited. Long products also edged higher on rising raw material costs and tight scrap availability. The market outlook remains cautiously firm, although weak monsoon-driven demand and uncertain imports could limit further gains.
Outlook
Indian ferro chrome prices are likely to remain largely stable to slightly weak in the coming week, pressured by subdued export demand, ample availability and cautious buying. Higher Chinese production and softer export prices may limit realisations, while weak demand from Japan and South Korea could further weigh on exports.
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