Ferro Silicon prices remains unchanged amid its steady demand and tightening supply in the market.
Bhutanese Ferro Silicon producers are understood to be sold out for April and have held prices steady. According to a producer source from Bhutan, sellers are fulfilling orders for material that were booked in advance. The producers are also on low stock amid stable demand.
The current prices of Ferro Silicon 70-75% grade is INR 71,000/MT (Ex-Bhutan) and INR 69,000/MT (Ex-Guwahati).
Mentioning about the import market, a producer source said, “Malaysia is high on production but their quality is quite inferior to ours and hence, is not a topic of concern for Indian producer as of now”.
Ferro Silicon paucity remains in the Indian market and there is little or no material to offer in the overseas markets for exports. However, the current export price also reflect similarity to domestic price trend and remains unchanged at USD 1,100/MT (FOB Kolkata).
SteelMint assessed that Steel production is sure to fall this year in China as the environmental policy and the steel capacity policy is implemented, resulting in low demand for ferro alloys, such as ferro silicon, is also sure to decrease.
China and Malaysia are likely to be competing in the global market, after China reduced its export duty on ferro Silicon by 5%. Whereas, Bhutanese and Indian producers will have to cater to the Indian domestic market.
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