Bid Level for IDCOL Tender in Tune with Offers in the Open Market, with entire material put on auction.
Earlier in the month IDCOL Ferro Chrome & Alloys Limited had invited tenders for the sale of High Carbon Ferro Chrome (HCFC) of 1,450 MT approximately. According to industry sources bids were received to the levels of INR 68,000/MT (85.7 cents/lb),Ex-Works. SteelMint assessed that only a few Stainless Steel mills participated in the tender, and SAIL was awarded close to 90 per cent of the material.
Bid levels were in line with prices in the open market. As is the case, IDCOL does receive lower bids, 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 INR 69,500/MT (87.6 cents/lb) Ex-Works Odisha. No deals were reported so far this week as end-users withdrew purchases on shaky market sentiment. Indian Ferro Chrome producers are relying heavily on export sales.
SteelMint assessed that considering a sluggish stainless steel market, there seems to be no great change in Ferro Chrome and Chrome Ore markets in the near future.
[su_note note_color=”#efefeb”] Also, NSEL (National Stock Exchange Limited) has earlier invited bids for sale of 14,200 MT of HC Ferro Chrome (Cr: 61-62%). The last date for submission of bids is 10 May, 2014.[/su_note]
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