India: Ferro chrome prices rise marginally despite sharp rally in stainless steel

• Cautious domestic demand weighs on ferro chrome prices
  
  
• Better export realisations push sellers to keep offers stable
  
  

Indian high-carbon ferro chrome (HC 60%, Si: 4%) prices rose marginally by INR 600/t ($6/t) w-o-w to INR 118,600/t ($1,253/t) exw-Jajpur, as per BigMint's assessment on 6 May 2026. Sellers kept offers stable amid cautious domestic buying, while strong export demand lent support. However, the surge in stainless steel prices was not reflected in ferro chrome prices, as end-user demand remained weak.

Deals for around 700 t were concluded during the assessment window (30 April-6 May) within the price range of INR 118,500-119,000/t ($1,252-1,257/t) exw.

Meanwhile,low-silicon high-carbon and low-carbon ferro chrome (C: 0.1%) prices edged up by INR 600/t ($6/t) w-o-w each to INR 123,600/t ($1,306/t) exw-Jajpur and INR 239,600/t ($2,532/t) exw-Durgapur, respectively.

Market summary (30 April-6 May 2026)

Export-led sentiment keeps market largely stable: India's ferro chrome market remained largely stable during the assessment window despite sluggish buying activity, as sellers maintained firm offers at INR 119,000-122,000/t exw. Two major domestic suppliers focused mainly on exports, supported by better overseas realisations due to the depreciation of the Indian rupee. A supplier told BigMint that export prices of normal-grade ferro chrome could fetch around INR 120,000-121,000/t ($1,268-1,278/t) exw, around INR 1,500-2,000/t ($16-21/t) higher than domestic spot prices. Another seller added that the long-term contracts benefited more from the weaker rupee than spot sales.

Export offers to China remained steady at 98 cents/lb CNF, while offers to Japan and South Korea were also unchanged at 102 cents/lb CNF. China's market remained quiet after the post-holiday reopening, although a 100-t tender in Japan reportedly closed at around 102.5 cents/lb.

The surge in stainless steel prices was not reflected in ferro chrome prices. A key ferro chrome seller informed BigMint, "Nickel price increases are driving stainless steel prices up, but demand is not strong enough to sustain them. Hence, there has been no ripple effect in ferro chrome demand."

Nickel surge lifts stainless steel prices: Prices of 304-grade stainless steel hot-rolled coils (HRCs) increased by INR 9,000/t ($95/t) w-o-w to INR 223,000/t ($2,356/t) exw-Mumbai on 6 May. Finished stainless steel prices increased, mainly due to a sharp rise in London Metal Exchange (LME) nickel prices, which briefly touched $20,000/t after Indonesia reduced mining quotas and tightened ore supply rules. In the flats segment, higher nickel costs pushed producers to revise rates upward, although demand from buyers remained weak.

A major producer raised 304 HR prices by INR 3,000/t ($32/t) and 304 cold-rolled (CR) by INR 4,000/t ($42/t), while 316 HR/CR prices increased by INR 8,000/t ($85/t). However, 200-series prices declined due to increased imports after QCO exemptions were extended until October 2026. Buyers continued cautious purchasing with limited fresh orders. In the longs segment, prices also increased, but trading activity remained slow as market participants waited for clearer price direction amid volatile nickel trends.

Outlook

BigMint expects Indian ferro chrome prices to remain stable in the upcoming week, as firm export-linked sentiment and stable seller offers are likely to offset weak domestic demand in the absence of any major shift in market fundamentals.