Bhubaneswar: After witnessing drop in prices in the last Chrome ore e-auction, the Odisha Mining Corporation (OMC) hopes that the prices will improve in the upcoming e-auction expected to be held on second week of this month.
Chrome ore prices dropped across all the grades in the last e-auction held on 6th January, 2014 due to slow response from Chrome exporters owing to subdued demand in the international ferrochrome market. The import prices of Ferrochrome in China, the world’s largest ferrochrome producer, has remained flat at 84-86 cents/lb since the last week of January due to the commencement of the Chinese Spring Festival from 31st January, 2014. Most of the Public and corporate offices as well as factories will remain closed during the 15 day festival which will end on 14th February, 2014.
Experts expect the prices will improve this time as the next e-auction is slated to be held on second week of this month and deliveries may start from 20thFebruary, 2014 by that time industrial activities would be resumed in China with renewed demand.
The prices of almost all grades of Chrome ore dropped in the last e-auction. While the 54+ grade friable Chrome prices for the inside state quota dropped by 9.18% to INR12, 664/MT, which was INR 13,945/MT in the previous e-auction in December. On the other hand, friable Chrome ore prices for the outside state quota dropped slightly by 3.77% to INR 12,264/MT, which was INR 12,745/MT in the previous e-auction.
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