India: Ferro chrome prices dip w-o-w following FACOR's auction

• Bids decline by INR 600/t at FACOR's auction
  
  
• TISCO raises tender price by $69/t for May'25

  
  
  

Indian high-carbon ferro chrome (HC60%, Si:4%) prices edged down by INR 700/tonne (t) ($8/t) as compared to the previous assessment on 23 April. The slight drop in prices can be attributed to the decline in bids at Vedanta-FACOR's ferro chrome auction, which concluded at INR 99,500/t ($1,175/t) exw for the bigger lot of 10-150 mm.

High-carbon ferro chrome prices were at INR 100,600/t ($1,188/t) exw-Jajpur, as per BigMint's assessment on 30 April. Deals for approximately 5,700 t were recorded by BigMint over the assessment window, within the price range of INR 99,500-103,000/t ($1,175-1,216/t) exw-Jajpur.

Conversely, low-silicon high-carbon ferro chrome prices inched up by INR 800/t ($9/t) w-o-w to INR 106,700/t ($1,260/t) exw. Deals for around 600 t were carried out within INR 106,000-108,000/t ($1,252-1,275/t) exw-Jajpur.

On the other hand, a hike of INR 3,250/t ($38/t) w-o-w was seen in low-carbon (C:0.1%) ferro chrome prices, which were assessed at INR 205,500/t ($2,427/t) exw-Durgapur.

Market overview (24-30 April 2025)

Decline in bids at Vedanta-FACOR's auction: At the Vedanta-FACOR auction on 28 April 2025, the larger lot of 10-150 mm achieved an H1 price of INR 99,500/t ($1,175/t) exw against the base price of INR 99,000/t ($1,169/t) exw. In comparison to the last auction on 14 April, bids dropped by INR 600/t ($7/t) exw.

However, other sellers did not offer at these levels, with their quotes largely at INR 101,000-103,000/t ($1,193-1,216/t) exw. Buyers countered these with bids at around INR 100,000/t ($1,181/t) exw. A seller, whose offers were at INR 101,000-101,500/t ($1,193-1,199/t) exw, informed BigMint, “I am not reducing my prices, as I am hopeful that prices will remain steady.”

Another trader stated, “Prices are not rising or falling drastically due to limited supplies.”

China's prices stable w-o-w: Ferro chrome (HC60%) prices in China edged down by RMB 150/t ($21/t) w-o-w to RMB 8,100/t ($1,114/t) exw-Inner Mongolia. Prices remained stable overall, with a slight drop, mainly due to increased output, especially from smaller producers in regions such as Inner Mongolia and Sichuan, where production rates surpassed 80%, creating a temporary oversupply in the market.

In contrast, low-carbon ferro chrome prices saw a slight increase, driven by strong demand from the new energy battery sector. Limited expansion of production capacity in areas such as Inner Mongolia and Qinghai helped maintain price stability.

TISCO also increased its ferro chrome tender price for May 2025 by RMB 500/t ($69/t) m-o-m to RMB 7,895/t ($1,086/t) DAP, inclusive of taxes.

Indian stainless steel market remains steady: Prices of 304-grade stainless steel hot-rolled coils (HRCs) remained steady w-o-w at INR 185,000/t ($2,186/t) exw-Mumbai. The stainless steel longs market remained stable too, amid need-based buying, though credit-based transactions continued to strain mills financially.

Induction furnace (IF) mills operated below capacity due to muted demand and tight liquidity. Larger mills struggled with inventory build-up amid slow liquidation, while smaller units remained relatively unaffected. Meanwhile, the flats segment stayed stable with little change in demand, and London Metal Exchange (LME) nickel prices showed minimal fluctuation.

Outlook

Prices are expected to stay range-bound in the days ahead. Slight variations may occur, primarily due to prevailing bid-offer gaps.