India : Ferro silicon prices hit over 2-month high on tight supply, firm demand

• Limited supply supports uptick in prices
  
  
• ZCE futures tick down by $5/t w-o-w
  
  

Ferro silicon (Si: 70%) prices in India increased by INR 1,800/t ($20/t) on 23 February compared with the 16 February assessment. Prices increased and have hit highest since Dec'25 amid constrained supply and fewer spot offers, with steady buying interest reinforcing the uptrend.

According to BigMint's assessment on 23 February 2026 ferro silicon prices stood at INR 98,800/t ($1,086/t) exw Guwahati. In Bhutan, prices also increased by INR 2,500/t ($27/t) w-o-w to INR 98,500/t ($1,083/t) exw. Around 1500 t were traded across both regions last week within the price range of INR 94,000 - 100,000/t ($1,033-1,099/t) exw.

Market updates (17-23 February 2026)

Tight supply conditions support price gains: Ferro silicon prices continued to strengthen across both regions during the week, primarily driven by tight supply conditions. Spot material availability remained limited, as some key producers were already sold out, leaving only a few actively offering material.

The constrained supply, combined with fewer spot offers, created upward pressure on prices. At the same time, steady buying interest from consumers sustained positive market sentiment and provided firm support to prevailing price levels.

A seller from Bhutan recently informed BigMint, "There's good demand and many of the new plants in Bhutan are not able to supply as they have not yet reached full load."

Meanwhile, in the southern region, sellers raised offers up to INR 104,000/t ($1,143/t) exw. In contrast, imported silicon metal (Grade 553, Si: 98.5%) prices in India edged down by $10/t w-o-w to $1,340/t CFR Mundra on 23 February.

China market trends: Ferro silicon (Si 75%) prices in China remained steady at RMB 5,750/t ($832/t) on 24 February. The market remained largely stable, following the conclusion of Spring Festival holiday, the downstream enterprises gradually resumed production, but overall demand remained largely unchanged. As a result, spot market activity stayed subdued, and limited execution of long-term contracts, leading to reduced market liquidity, and a cautious trading sentiment.

On the supply side, producers in major manufacturing regions progressively resumed operations, resulting in a slight recovery in operating rates and output levels. Firm cost support from electricity and semi-coke prices discouraged producers from lowering offers to clear inventories, and prices remained stable.

ZCE futures tick down w-o-w : Ferro silicon futures prices on the Zhengzhou Commodity Exchange (ZCE) remained largely stable, edging down by RMB 32/t ($5/t) to RMB 5,472/t ($792/t) on 24 February, compared with RMB 5,504/t ($797/t) on 13 February 2026.

Outlook

Ferro silicon prices are expected to remain range-bound, with the announcement of March prices from Bhutan likely to guide near-term market direction.