India: Ferro Silicon Producers Continue to Raise Offers

There is an upsurge in demand for Bhutanese Ferro Silicon, and this has prompted the producers to raise their offer price further.

Ferro Silicon prices moved upwards as limited availability coupled with demand from end-users that have run down inventories lent support and firmed trade levels. The current offer for Bhutanese ferro silicon grade 70-75% has gone up to INR 67,500/MT (Ex-Bhutan).

In line with firm prices in Bhutan, Ferro Silicon producers in India have also raised their offers. Indian Ferro Silicon offers are at around INR 65,500/MT (Ex-Guwahati) for the aforementioned grade.

There is a sense of optimism among the Ferro Silicon producers after their increasing offers are finding acceptance in the market. Most suppliers have raised offers against relatively tight supply.

“There is good demand of Ferro Silicon as inventory with most buyers is either low or even exhausted” said a producer. He further revealed that traders are procuring large quantities of Ferro Silicon and then selling it at a good premium to the user industries. SteelMint assessed that there is strong demand coming in from Foundries and Stainless Steel mills around Delhi region.

As per the current scenario, there is very little possibility of any downward correction in Ferro Silicon prices, unless export offers to India reduces sharply.