Ferro Silicon prices gain on stronger buying activity. Market sources also reported for tight availability of material.
Supply of Ferro Silicon in India remains less as producers in Bhutan are exporting most of the material. Shortage of material in the Indian market has led to increase in prices. Druk Ferro Alloys is exporting material to countries like Germany & Italy and is not supplying material to India. Grade 70-75 is being offered at around INR 77,000/MT (Ex-Bhutan). The export market witnessed resilient demand from European buyers. Ferro Silicon is being offered at around USD 1,340-1,360/MT FoB Kolkata.
Ferro Silicon paucity remains in the Indian market, as there are less material on offer from Bhutan along with this few plants in Meghalaya are not operational. In Guwahati, grade70-75% is being offered at INR 76,000/MT, up by INR 1,000/MT. Indian producers cited that prices have increased as market is down with supply. It is to be seen whether there is any further uptick in prices because there is resilient demand, but production of the material has reduced.
[su_quote]A producer from Meghalaya remarked, “Sentiment is reasonably positive in the market and we are expecting prices to remain well supported on strong domestic demand.”[/su_quote]
On the future outlook, SteelMint assessed as Ferro Silicon prices have raised, there is limited possibility of a further price hike unless the market witnesses any major bulk orders.
Exchange Rate: USD 1= INR 61.44
Leave a Reply