- Weaker rupee boosts ferro chrome exports
- Nickel strength boosts stainless steel market
Indian high-carbon ferro chrome (HC 60%, Si: 4%) prices edged up a little by INR 400/t ($4/t) w-o-w to INR 119,000/t ($1,243/t) exw-Jajpur. Prices inched up amid slight improvement in market inquiries for the material.
Approximately 3,600 t of deals were concluded last week within the price bracket of INR 118,000-122,000/t ($1,232-1,274/t) exw-Jajpur.
Prices edged up for low-carbon ferro chrome (C: 0.1%) as well by INR 400/t ($4/t) w-o-w to INR 240,000/t ($2,507/t) exw-Durgapur. Meanwhile, low-silicon high-carbon ferro chrome prices were unchanged w-o-w at INR 123,600/t ($1,291/t) exw-Jajpur.
Market recap (7-13 May 2026)
Improved trades lift prices: Indian ferro chrome market witnessed improved trading activity this week, with trades rising sharply to around 3,600 t compared with nearly 700 t in the previous week. Sellers largely maintained firm offers, which supported a slight increase in domestic ferro chrome prices. Market sentiment also remained positive due to the upward movement in stainless steel prices, providing additional support to the alloy market. Participants noted that improved buying interest from stainless steel producers contributed to better market activity during the week.
Additionally, market players were also closely monitoring the upcoming chrome ore auction by Odisha Mining Corporation (OMC), which is likely to be scheduled next week and may influence near-term price direction.
Export sentiment supported by weaker rupee: Export offers to China inched down by 1 cent/lb w-o-w to 97 cents/lb CNF, while offers to Japan were unchanged at 102 cents/lb CNF. In South Korea, it came down 2 cents/lb w-o-w to 100 cents/lb CNF, as a key tender was reported to have been closed at around 99-100 cents/lb.
The recent depreciation of the Indian rupee against the US dollar improved export realisations for suppliers, making overseas sales more attractive compared to the domestic market.
Stainless steel prices supported by nickel costs: Stainless steel prices for 304 grade HRC went up by INR 4,000/t ($42/t) w-o-w to INR 227,000/t ($2,371/t) exw-Mumbai. India’s stainless steel flat products market moved upward during the week, supported mainly by higher nickel prices, which strengthened the 300-series segment. However, the 200-series continued to face pressure after the extension of QCO exemptions until October 2026, increasing imports and competition from Chinese material.
The longs market remained firm on higher scrap and alloy costs, though buying activity stayed cautious. Market participants expect near-term firmness, while weak downstream demand may limit large-volume deals.
Chinese market scenario: China’s ferro chrome market sentiment remained cautious due to expectations of higher domestic output and increased overseas supply, especially from South Africa and Zimbabwe. While maintenance shutdowns at some Inner Mongolia plants provided limited support, anticipated production recovery in southern China during the rainy season continued to pressure prices.
Chrome ore prices stayed relatively firm on stable overseas offers and high freight costs, though rising port inventories weakened raw material support slightly. Downstream stainless steel mills continued cautious, need-based procurement despite stable production levels, resulting in subdued spot activity. Market participants expect ferro chrome prices to remain range-bound in the near term amid high inventories, rising supply expectations, and weak downstream demand.
Leave a Reply