Indian producers of HC Ferro Chrome have persistently raised offers in the domestic market owing to shortages in supply and robust demand from China at soaring price levels, making exports a more lucrative option for the manufacturers. The mainstream domestic price of HC Ferro Chrome 60% min. is around INR 85,000/MT Ex-Jajpur. However, some producers also claim to have sold material at INR 90,000/MT Ex-Works basis.
Sentiment in the market was mostly bullish as the Chinese stainless steel industry — the largest consumer of Ferro Chrome — has been accepting a steep rise in offer prices. Few traders are also buying more now to stock up as prices are expected to increase further. Export offers to China for Indian-origin High Carbon Ferro Chrome (58-60% Cr) was heard at 105 cents/lb CFR China main ports, but a deal has yet to be concluded at this price. However, Indian producers are very confident of Chinese buyers accepting their offer sooner rather than later.
It is to be reported that China’s major Stainless Steel manufacturer Baosteel has raised its purchase price dramatically, to RMB 9,500/MT (VAT Included and cash payment), up by RMB 2,500/MT (INR 24,650/MT) from October.
The offer price of Indian HC Ferro Chrome for Japan stands at 91-93 cents/lb CIF Japan, unchanged from the previous week, because of an absence of deals, offers and bids.
On the future trend there is a lingering certainty that Indian Ferro Chrome prices will continue to rise all through this year at least.
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