Indian Ferro Chrome prices remain unchanged amid improved market sentiment.
SteelMint learned that the production cuts of Ferro Chrome in various provinces of China have created a supply crunch in the market while improved prices for stainless steel and Nickel in the region encouraged local Ferro Chrome producers to raise their offers for the commodity.
Moreover, the raise in purchased price of Ferro Chrome by major stainless-steel producers also supported the commodity’s prices coupled with rising ore prices.
Chrome Ore prices are heard to have risen due to high tariff owing to the winter season in South Africa which has been assessed at USD 210/MT CIF China.
In line with Chinese prices, Japan and South Korea also started accepting higher offers as their demand increased owing to the full capacity production of stainless-steel.
SteelMint assessed Ferro Chrome prices at 87-88 cents/lb CIF China, 92 cents/lb CIF Korea and 93 cents/lb CIF Japan. However, Indian producers have already started quoting at 90 cents/lb CIF China, but the same levels have not been achieved yet.
Mirroring the Chinese market, the domestic market also remained active as producers claim to have concluded deals at INR 78,000/MT (Ex-Odisha), while few producers that are low on inventory are offering at higher levels.
On the future outlook, market participants are expecting that the prices might remain firm in the short-term with limited or no chances of a downward correction in June.
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