Earlier in the month IDCOL Ferro Chrome & Alloys Limited had invited tenders for the sale of High Carbon Ferro Chrome (HCFC) of 1400 MT approximately. According to industry sources bids were received to the levels of Rs. 63,550 /MT ($1082 /MT),Ex-Works. SteelMint assessed that quite a few Stainless Steel mills participated in the tender, and actual buying interest was relatively strong as bid levels were in line with prices in the open market.
As is the case, IDCOL does receive lower bids by around Rs. 1000 /MT as buyers look to compensate for the additional logistical costs and other expenses that are incurred in procuring material from IDCOL.
HC Ferro Chrome in India is currently trading at Rs. 64,000 – 65,000 /MT ($1090-1107) Ex-Works basis. Despite, the offer levels being low in dollar terms demand from Stainless Steel producers in Japan and the European Union is lacklustre. However, there has been a steady surge in inquiries from China, as the Chinese buyers returned to the market post the Dragon Boat festival. China's largest Stainless Steel producer, Shanxi Taigang Stainless Steel has lifted its purchase price for HC Ferro Chrome by Yuan 50 /MT ($ 8.16).
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