India: Ferro Silicon Prices Remain Flat W-o-W

Ferro Silicon prices in India stopped escalating and remained stable due to slow demand. Although the buyers are trying to negotiate for lower prices, producers are unwilling to lower the prices due to tight supply of raw material. Meanwhile, prices in Europe have edged up due to better demand.

In the domestic market, the offer prices for Bhutan and Guwahati are at INR 90,000/MT Ex-plant for 70% grade. In the export market, inquires have increased, but the producers are reluctant as the domestic prices are more beneficial in the present market conditions and the situation of short supply is keeping them from providing material in the overseas markets.

However, prices in Russia edged up due to increased global prices. In relation to the increased international prices, insiders hold an opinion that the prices may increase further in the following week. Presently, FOB Russia prices for 65% grade is at USD 845/MT, up by USD 10/MT.

Meanwhile, Chinese export prices loosened due to heavy stocks in hand. According to a few market experts, the prices may come down further in the coming weeks, as they believe that the traders might accept the lower counterbids due to their higher inventory levels now. At present, the export offers stand at USD 1105/MT FOB China for 75% grade Ferro Silicon.

Future Outlook
Prices in India are likely to remain stable for now. However, there are chances that the prices may increase amid stock unavailability.