Ferro Silicon prices retreat, as domestic market starts weakening. There was visibly less demand in the market with buyers aware that there was more than sufficient supply, adding to purchase hesitation.
In Bhutan, Ferro Silicon prices were at the same level on bearish market sentiment. Ferro Silicon (70-75) prices is being traded at INR 76,000/MT (Ex-Bhutan). Bhutanese producers reported of low demand from European nations. In the export market, Ferro Silicon is being offered at around USD 1,270/MT FoB Kolkata. Reportedly, there were very few deals, bids & enquires in the market last week.
In India, Ferro Silicon prices decreases on low demand from end users. Current price of Ferro Silicon (70-75) is at around INR 73,000-73,500/MT in Guwahati. Indian producers are of the view that there is persistent oversupply of the material which is pressurizing the market. New plants have emerged all over India and recently 2 new plants were set up in Durgapur.
[su_quote]”The market sentiment is very negative at the moment, as buying activity has sharply receded”, remarked a producer based in Meghalaya.[/su_quote]
Indian producers highlighted that in April, 2014 power tariffs could increase and so prices of Ferro Silicon would rise or else many plants would shut down. SteelMint assessed that Ferro Silicon market to remain dormant till month end as buyers were reluctant to commit amid unclear market direction. However, prices for Ferro Silicon should not go down in March and likely to remain at the same level.
Exchange Rate: USD 1= INR 61.98
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