India: Ferro silicon prices hold steady w-o-w amid stable market conditions

• 3 Bhutanese plants successfully renew BIS licence
  
  
• China's domestic prices stable, ZCE futures increase
  
  

Indian ferro silicon (70%) prices remained largely stable, inching down by INR 200/tonne (t) ($2/t) as compared to the previous assessment on 6 January. Prices were steady, as the markets in northeastern India and Bhutan operated at the announced offers for this month.

Ferro silicon prices were at INR 103,800/t ($1,199/t) exw-Guwahati, as per BigMint's assessment on 13 January. In Bhutan, they fell slightly by INR 300/t ($3/t) w-o-w to INR 103,800/t ($1,199/t) exw. Trades for approximately 300 t were recorded by BigMint in both regions, within the price range of INR 103,500-104,000/t ($1,196-1,202/t) exw.

Market highlights

Market operates at Bhutan's Jan'25 offers: Bhutan's offers generally serve as a benchmark for sellers in northeastern India. With Bhutan's offers for January 2025 set at INR 104,000/t ($1,202/t) exw, Indian prices hovered largely at these levels. However, there were some variations in trade prices, depending on volume, delivery period, payment terms, and other factors.

Commenting on it, an Indian seller informed BigMint, "We are selling at INR 103,000-104,000/t ($1,190-1,202/t) exw, wherever the deal is landing."

Meanwhile, a supplier from Bhutan said, "We are not selling in the spot market right now. Instead, we are mainly focusing on long-term deals."

As per sources, by last Friday, three plants in Bhutan had got their licences renewed. Moreover, the licences of a few other plants were due to expire on the same day. These producers hope to get these renewed soon.

China's market remains stable: Ferro silicon (Si:75%) prices in China were stable w-o-w, inching down by RMB 25/t ($3/t) to RMB 6,320/t ($862/t) exw-Inner Mongolia. The supply side remained cautious last week, with the traditional off-season underway and uncertainty surrounding future market trends. On the demand side, engagement in the market was limited amid need-based buying. As the Spring Festival nears, with steel mills reducing production and low expectations for winter storage, ferro silicon prices are expected to fluctuate.

Meanwhile, prices on the Zhengzhou Commodity Exchange (ZCE) for March 2025 delivery increased by RMB 126/t ($17/t) w-o-w to RMB 6,368/t ($869/t) on 13 January.

Outlook

In the upcoming days, prices are expected to stay within the current range, with some minor fluctuations.