- Buyers, sellers remain aligned on prices amid stable demand
- Some sellers raise offers, but buyers prefer competitive options
Indian ferro silicon (Si:70%) prices remained largely stable w-o-w, down marginally by INR 500/t ($5/t) to INR 87,200/t ($914/t) exw on 11 August 2026. In Bhutan as well, prices edged down by INR 200/t ($2/t) w-o-w to INR 87,100/t ($913/t) exw.
Deals for around 11,000 t were concluded last week in both regions, which helped keep prices supported.
Market recap (4-10 August)
Buyers, sellers remain aligned on prices: Ferro silicon prices in India remained largely stable amid balanced demand-supply conditions. Stainless steel mills continued to procure raw material at a steady pace for regular production needs.
Of the around 11,000 t traded last week, deals for nearly 9,400 t were concluded at INR 87,000-88,000/t ($912-922/t) exw, close to the offers announced by Bhutanese sellers for this month. The broad stability indicates alignment between buyers and sellers, which limited price fluctuations.
In the north-eastern region, some sellers offered material at levels as high as INR 91,000/t (954/t) exw, citing limited material availability and elevated raw material and operating costs. Some sellers were focused on fulfilling SAIL’s tender requirements, which reduced the material available for spot sales.
However, these higher offers received limited acceptance as buyers preferred more competitive offers available in the market.
Meanwhile, ferro silicon offers in southern India remained comparatively higher, ranging between INR 91,000-93,000/t ($954-975/t) exw. Overall, the market remained steady, supported by regular demand and adequate availability, while regional cost variations continued to create differences in offer levels.
Chinese prices steady on cost support: In China, prices (Si:75%) held steady w-o-w at RMB 6,150/t ($912/t) exw-Inner Mongolia as high electricity costs in major production areas continued to support prices. Some producers undertook maintenance shutdowns and had no immediate plans to resume production, while the rest remained reluctant to sell at lower levels, limiting the availability of cheaper material. However, downstream demand remained weak as the steel sector was in its seasonal off-season, with several steel mills carrying out blast furnace maintenance and reducing purchases. Traders were also cautious and avoided large-volume buying. With supply and demand broadly balanced, spot prices remained unchanged.
ZCE futures rise w-o-w: Ferro silicon futures on the Zhengzhou Commodity Exchange (ZCE) for October deliveries rose by RMB 198/t ($29/t) w-o-w to RMB 5,826/t ($863/t) on 10 August.
Outlook
Indian ferro silicon prices are likely to remain stable in the upcoming week. Steady domestic demand and substantial trade volumes should provide support, while higher production costs may limit downside. However, adequate availability and buyers’ resistance to higher offers are likely to cap significant price gains.
Leave a Reply