India: Chrome ore dispatches drop nearly 40% m-o-m in August

Domestic chrome ore dispatches fell significantly by 37% m-o-m in August 2022 as mills sought to reduce ferro chrome production amid low prices and demand.

Dispatches from OMC decreased by 40% m-o-m in August, with a major chunk supplied to Jindal Stainless (16,754t) followed by Shyam Metalics and Energy (5,688t). Meanwhile, chrome ore dispatches by Tata Steel and Indian Metal and Ferro Alloys Ltd. (IMFA) fell by 41% m-o-m in August.

However, dispatches from FACOR surged 106% m-o-m with the major volume kept for captive consumption (7,215 t), while around 3,961 t was dispatched to Visa Steel and Jai Balaji Industries.

Procurement trend

IMFA (29,130 t), Visa Steel (21,522 t) and Jindal Stainless Steel (16,754 t) remained the three largest receivers of chrome ore in August.

IMFA procured 96% of the material from captive mines, while some quantities were procured from OMC. Meanwhile, Visa Steel procured a majority of the chrome ore from Tata Steel.