India: Ferro Silicon Offers Remain Firm; Optimism Runs Through the Market

Ferro Silicon prices remain unchanged, while bullish sentiment prevails in the market.

"Traders have been inquiring a lot as they are out of stock. Hence, this provides an opportunity for the producer to raise their offers," said a source discussing the availability of the commodity and hinting on an expected rise in offers in near term.

Another source revealed that a few producers have concluded deals at lower levels but those are mostly re-negotiated on older inventories, while some deals are heard to have been concluded at higher levels in North-eastern India, directing towards rising prices post-holidays.

However, a source countered it and opined that end uses may pay higher during their need but that does not define the market price. Hence, he pointed towards the price release of the commodity by Bhutan in the coming week, as it works as a benchmark for the Indian market.

The present offers for Ferro Silicon are assessed at INR 1,10,000/MT (Ex-Guwahati) and (Ex-Bhutan).

Demand from overseas is also increasing and Bhutanese producers are quoting more than USD 2,000/MT FOB Kolkata, and are confident to find acceptance at the aforementioned price.

"Supply remains a major issue as China and Russia are low on production and Malaysia is mostly booked. Hence, providing India and Bhutan an upper hand," said a source.

On a future outlook, Ferro Silicon offers are expected to remain firm with fair chances to correct upwards and any likeliness to move down is non-existent.