Weekly round-up: Ferro alloys markets reflect mixed sentiments

• Ferro silicon prices accelerate as Bhutanese producers withhold their offers.
  
  
• Domestic silico manganese prices down on lessen steel prices and enough availability in the domestic market.
  
  

Bhutanese price offers on hold made the Indian ferro silicon prices to go up

Prices of Indian ferro silicon (FeSi:70%) rose by INR 3,500/t ($42/t). Prices rose as many producers from Bhutan faced their Bureau of Indian Standards (BIS) license expiring due to which they withheld their offers. As a result, quotations in India went up which led to a price hike. According to SteelMint, prices of ferro silicon in India on 12 January were at INR 109,500/t ($1,321/t) exw-Guwahati.

Silico manganese prices down on lower steel prices

Indian silico manganese prices decreased by INR 300/t ($4/t) as steel demand remained subdued in the domestic market. Enough containers got decked up at portside because of increased freight charges and materials from that container was rolled in the domestic market which caused silico manganese prices to fall.

Export prices for silico manganese (60-14) inched down by $2/t to $800/t this week as against $802/t FOB Vizag/Haldia last week, whereas prices for silico manganese(65-16) inched up by $5/t to $895/t FOB Vizag/Haldia which was $900/t last week. However, SteelMint's domestic steel billet index was recorded INR 39,950/t ($482/t exw-Raipur), marking a weekly increase of INR 350/t ($4/t). Indian silico manganese (60-14) was trading at about INR 64,100-64,900/t ($773-$783/t) exw Durgapur, Raipur, and Vizag on 12 January, 2024.

Ferro manganese prices stable amid production cuts

Ferro manganese (HC70%) prices remained stable w-o-w despite limited demand and production cuts in a key production hub. According to SteelMint, ferro manganese offers in Durgapur and Raipur on 12 January ranged from INR 64,900 to INR 65,000/t ($780-$781/t) exw.

Imported manganese ore prices stable on limited supply

Prices of imported manganese ore Mn: 37-46% rose due to lower stocks and demand lift. Prices of Mn37% were assessed at $3.8/dmtu up by $0.05/dmtu, Mn44% at $4.35/dmtu, and Mn46% at $4.65/dmtu. All prices are CIF India. India has witnessed a 50% decline in manganese ore weekly import shipments. This decrease is due to delayed shipments amid the Red Sea conflict.

IEX spot prices decline

Spot electricity prices (7 January-13 January) in the day-ahead-market at the Indian Energy Exchange (IEX) dipped to INR 5.31/unit as against INR 5.40/unit last week. This week bids for power-sell exceeded 1.1 times than the purchase bids, which bring down prices on the exchange.

Ferro chrome prices remain moderate

On 12 January, prices of Indian ferro chrome (HC 60%, Si:4%) stayed unchanged at INR 112,700/t ($1,355/t) exw-Jajpur. Prices went up because the market was volatile as it was need-based buying was observed. However, stainless steel prices for 304 grade fell by INR 2,000/t ($24/t) w-o-w to INR 173,000/t ($2,085/t) exw-Mumbai.

Ferro molybdenum prices up on strong demand

Indian ferro molybdenum prices surged by INR 69,000/t ($833/t) this week as the domestic demand increased and producers also had enough materials in stock. Meanwhile, an uptick in China, London Metal Exchange (LME) prices could also be a significant reason for increased prices. As of 10 January, Indian ferro molybdenum prices stood at INR 2,460,000/t ($29,684/t) exw-Nagpur on 60% pro rata basis.

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