There was a visible improvement in Ferro silicon demand as buyers were heard inquiring, although prices were unchanged.
Bhutan Ferro silicon market has witnessed better demand this week, although prices remain unchanged. Market sources gave some hint of bullishness as buying interest returns. Bhutan-origin Ferro silicon 70-75% min is being offered at INR 65,000/MT.
Deals were offered from Bhutan for other countries such as Italy and Germany. A source revealed that offers were USD 1,200/MT, CIF Europe.
With the uptick came a sense of tentative optimism, something that has been missing from the market for quite some time.
“Prices have been declining continuously for so long now and we’ve reached a short-term price bottom, beyond which it’s difficult for any more softening,” stated a producer based in Bhutan.
In the Indian Ferro silicon market, some inquires have been reported as prices remain stable amid a bearish market. Current price for 70-75 grade is INR 64,000/MT (ex-Guwahati). Earlier, quite a few Silico manganese producers had shifted to making Ferro silicon since Silico manganese prices had declined drastically, resulting in excess supply in the market. However, now once again those producers have started shifting their production back to making Silico manganese. This will lend further support to Ferro silicon prices.
SteelMint assessed that although number of inquiries is picking up for Ferro silicon, not many deals have been concluded and many buyers are still inactive in making purchases as they are expecting lower prices. Also, there is still ample stock lying with the producers.
Exchange Rate : USD 1 = INR 62.24
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