India: Ferro Silicon Offers Edge Down in a Competitive Market

Indian Ferro Silicon offers slipped further amidst a competitive market while demand remains firm.

Post registering record high prices due to a supply shortage of the commodity, Ferro Silicon offers in the domestic market witnessed a marginal fall as major producers from Bhutan cut their prices to entice buying and book orders before lower import numbers start floating.

"This could simply be termed as market manipulation as no other factors are observed to have played any role in price cut," reacted a source expressing his concern over a constant decline in prices.

Demand for the commodity is seen to be firm as some of the producers claimed to be low on inventory due to regular inquiries.

SteelMint assessed Ferro Silicon offers at INR 1,02,000/MT (Ex-Bhutan) and INR 1,03,500-1,04,000/MT (Ex-Guwahati).

Realization of Ferro Silicon in the overseas market is heard to be gaining momentum as demand from Europe is heard to be healthy.

"Currently, Europe is our primary market," exclaimed a producer source while adding that it is better to conclude deals in Europe given the price factor.

Export offers are assessed at USD 1,730/MT FOB Kolkata while producer sources expect the prices to move up further.

On the future outlook, Ferro Silicon offers are expected to remain firm but any price correction from major firms could determine the future movement of prices.