- 95% of offered material sold
- Domestic prices rise INR 700/t ($7/t) m-o-m
At the OMC’s chrome ore auction today, almost entire volume of 95,300 t was booked out of 100,000 t offered. Bid prices increased by 1-7% (INR 100-1,627/t) m-o-m for most grades, while a few grades recorded declines of 0.04-8% (INR 13-1,887/t). The mixed price movement indicates varying buying interest across grades, although the overall booking level remained high.
Compared with base prices, premiums rose by up to 15%, reflecting buyers’ willingness to bid above the reserve levels for select grades. The increase in bids was likely supported by a m-o-m rise of INR 700/t ($7/t) in the price of Indian high-carbon (HC) ferro chrome in October. Improved domestic buying and firm reductant costs have also helped support ferro chrome prices, strengthening the cost and market outlook for producers.
Meanwhile, the stainless steel market has recently remained firm, providing support to the broader ferro chrome market. Expectations of stronger stainless steel demand in the current quarter may have encouraged ferro chrome producers to secure raw material requirements through the auction. However, the decline in bids for some grades suggests that buying interest remained selective, with price movements varying according to grade and buyer requirements.
Leave a Reply