- Sellers resist discounts amid firm input costs
- Cautious buying limits broader market momentum
India’s ferro vanadium prices rose w-o-w as sellers maintained firm offers, supported by firm replacement costs and limited willingness to sell at discounted levels. Buyers remained cautious, largely restricting purchases to immediate requirements, while seller resistance provided upward support to spot prices.
Sellers maintain firm offers amid cautious demand
Ferro vanadium prices rose by INR 30,000/t ($313/t) w-o-w to INR 1,385,000/t ($14,466/t) exw-Raipur. The domestic market remained relatively quiet, with buyers largely limiting purchases to immediate or near-term requirements. However, sellers showed little inclination to match lower bids, resulting in a wider bid-offer gap in some negotiations.
Market participants said suppliers were offering available material at firmer levels and preferred to hold inventories rather than liquidate stocks at lower prices. Firm replacement costs and limited seller flexibility gradually shifted the market balance in favour of sellers, supporting the weekly increase.
Vanadium pentoxide market provides support
Vanadium pentoxide prices remained relatively firm during the week, providing cost-side support to ferro vanadium producers. Upstream prices showed limited room for further declines, keeping producers cautious about lowering ferro vanadium offers.
At the same time, downstream buying remained measured, with consumers largely adopting a wait-and-watch approach. The combination of firm raw-material costs and restrained demand kept the market balanced, while resistance from sellers prevented a significant downward correction.
Outlook
Indian ferro vanadium prices are expected to remain firm in the coming week, supported by steady vanadium pentoxide costs and firm seller offers. However, subdued buying interest could limit further gains, keeping market activity cautious.
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