India: Ferro Chrome Prices Stable Despite Sluggish Demand

Indian Ferro Chrome prices have gone up marginally from last week as most producers reduced their production levels in line with poor demand. Limited Quantity is available in the domestic market as producers have reduced their allocation in the domestic market to curb the free fall of prices. However, this has been countered by demand in the domestic market which has remained sluggish.

Chinese buyers are negotiating for much lower prices owing to the depreciation in the value of Chinese Yuan. Indian Producers are however in a position to reduce prices due to the depreciation of Rupee as well and are willing to reduce the prices for Chinese buyers. A few deals were heard to be concluded with China.

Domestic Prices for Ferro Chrome in India is assessed at INR 64,000/MT. However, prices in the export market remained unchanged. Offers for CNF South Korea (10-50 mm, HC 60%) is at around 73 cents/lb, CNF Japan(10-50 mm, HC 60%) is at 74cents/lb and for CNF China the prices are at around 71 cents/lb.

On the future outlook, the prices may remain stable for the time being with minor fluctuations.