- Regular trades ensure market stability
- Global competition keeps export prices unchanged
Indian ferro silicon (Si:70%) prices moved up marginally by INR 100/t ($1/t) w-o-w to INR 88,100/t ($916/t) exw-Guwahati. In Bhutan, prices edged down by INR 500/t ($5/t) w-o-w to INR 88,200/t ($917/t) exw.
Prices held steady amid regular trades and unchanged market fundamentals. A total of around 2,400 t of trades were concluded last week in both the regions within the price bracket of INR 87,500-88,000/t ($909-914/t) exw.
Market summary (14-20 July)
Firm buying sustains market stability: India’s ferro silicon market remained largely stable during the week, supported by balanced demand-supply dynamics. Most producers in Bhutan and North east India were either sold out or focused on executing previously booked orders, limiting spot material availability. Firm buying from consumers at prevailing price levels with the remaining suppliers helped sustain domestic prices. Overall market fundamentals remained unchanged, keeping the market balanced without any significant upward or downward pressure.
Meanwhile, the export market continued to witness limited buying interest amid heightened global competition from major supplying countries. Weak overseas inquiries restricted fresh export deals, although sellers largely maintained their offer levels. As a result, export prices remained unchanged w-o-w at $1,050/t FOB Kolkata, reflecting stable sentiment despite muted international demand and competitive market conditions.
Chinese prices supported by higher costs: In China, prices (Si:75%) held steady w-o-w at RMB 6,050/t ($893/t) exw-Inner Mongolia. High production costs, mainly due to firm semi-coke and electricity prices, discouraged producers from lowering offers. Expectations of lower supply following maintenance shutdowns also supported the market.
However, demand from steel mills and the magnesium sector remained weak, limiting fresh buying activity. Steel mill tenders provided only limited support, while most buyers and sellers preferred to wait for clearer market signals. As a result, trading was largely limited to immediate requirements, and prices remained steady.
Meanwhile, September 2026 ferro silicon futures on the Zhengzhou Commodity Exchange (ZCE) edged up by RMB 36/t ($5/t) w-o-w to RMB 5,782/t ($854/t) on 20 July.
Outlook
India’s ferro silicon market is expected to remain stable in the coming week, supported by balanced demand-supply conditions and limited spot availability as producers continue to supply previously booked orders. Regular domestic buying is likely to keep prices firm at current levels.
Market participants will closely watch fresh buying from steel and foundry consumers, along with production levels in Bhutan and North east India, for further price direction.
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