India: Revision by Bhutanese producers prompts correction in domestic ferro silicon prices

• Bhutan's price stands at INR 107,000/t for Feb'24
  
  
• Power outages in Meghalaya

  Indian ferro silicon (70%) prices fell by INR 3,000/t ($36/t) w-o-w as compared to the previous assessment on 5 February. Following the pattern, producers in India began to match the pricing disclosed by Bhutan in their latest offer.

  Indian ferro silicon prices were INR 107,000/t ($1,289/t) exw-Guwahati on 12 February, according to BigMint's assessment. Additionally, prices in Bhutan also decreased by INR 3,000/t ($36/t) w-o-w, standing at INR 107,000/t ($1,289/t) exw.
  
  

Weekly market summary

Bhutan's new price announcement: This month's pricing, which are INR 107,000/t ($1,289/t), were revealed by a major manufacturer from Bhutan. Although announced prices reduced by INR 1,000/t ($12/t) m-o-m but the prices rose in previous month as a result of problems with BIS renewal.

Additionally, power outages in Meghalaya have been reported, and they are anticipated to continue in the coming days. According to sources, pricing would not be significantly impacted in the near future because of this.

Global market scenario: Ferro silicon (Si:75%) prices in China were standing at RMB 7,000/t ($974/t) exw-Inner Mongolia. With the new year holidays, demand remained limited and trading activities also slowed down.

Ferro silicon futures, however, showed a w-o-w increase of RMB 54/t ($8/t) to RMB 6,578/t ($916/t) t on 8 February on China's Zhengzhou Commodity Exchange (ZCE) for the March 2024 delivery contract.

Outlook

As per BigMint's estimate, prices are expected to maintain their current levels, with slight adjustments.