Indian Ferro Silicon Prices went further down this week. Many producers are trading at below their production cost in India to lower the inventory. Producers are cutting down the prices to entice buyers and clear out inventory. Demand from export market is absent. Even with reduced prices, there are no inquiries from the export market, which has put the producers under selling pressure.
Ferro Silicon market is depressed and the producers are pessimistic. A Bhutan based producer said that earlier only a few producers were underselling to clear out their inventory, but with the present market situations, now the rest of the producers are following suit.
In the domestic market, the prices fell by INR1000/MT for both Ex-Bhutan and Ex-Guwahati. Producers from Bhutan are offering Ferro Silicon at INR 67,000/MT Ex-Bhutan. Ferro Silicon prices in Guwahati is at INR 68,000/MT. In the export market, offer prices remained unchanged for Ferro Silicon (75%) at USD 1100/MT FOB Kolkata.
On the future outlook, the chances of any uptrend is highly unlikely in the near future. The temporary shutdown has started in Southern areas and if the prices keep falling, then others might also have to do the same.
Leave a Reply