India: Ferro silicon prices hold steady amid limited market movement

• Chinese prices stable, futures slip slightly
  
  
• HBIS Groups Aug'25 ferro silicon bids shows a modest rise
  
  

Indian ferro silicon (70%) prices stayed unchanged w-o-w last week as against previous assessment on 11 August. The market stayed quiet last week and with steady supply-demand dynamics, prices didnt experience any major fluctuations.

Ferro silicon prices in India were INR 93,500/t ($1,072/t) exw-Guwahati, as per BigMints assessment on 18 August. In Bhutan, prices inched down by INR 500/t ($6/t) w-o-w to INR 94,000/t ($1,077/t) exw. Around 500 t of trades were reported to BigMint last week in the INR 93,000-94,000/t ($1,066-1,077/t) price range.

Market recap (12-18 August 2025)

Quiet week in the market: The domestic market witnessed no major movement during the past week, and holidays further limited trading activity. In Bhutan, prices were not reduced much, though market activity remained restricted. While a few deals were heard at slightly lower levels, most sellers stood firm at their offers, indicating resistance to price cuts.

On the export front, prices stayed steady w-o-w at $1,145/t FOB Kolkata, supported by firm offers from sellers, but inquiries from buyers were limited, reflecting cautious demand sentiment and overall muted participation in both the domestic and export markets.

Steady silicon metal prices: Imported silicon metal prices from China (grade 553, Si:98.5%) stood largely stable w-o-w, edging up slightly by $10 to $1,380/t CFR Mundra on 18 August.

Chinese prices flat w-o-w: Ferro silicon (Si: 75%) prices in China remained unchanged w-o-w at RMB 5,760/t ($802/t) exw-Inner Mongolia. Producers in key regions maintained stable production, ensuring ample supply. Steel mills relied mainly on long-term contracts, while spot market activity was moderate.

Inventories increased gradually without creating significant pressure. Most producers kept prices steady, though some made slight reductions to boost sales. Rising raw material costs squeezed margins, while seasonal factors weakened procurement interest from downstream foundries.

Additionally, Hebei Iron and Steel Group (HBIS Group) released its ferro silicon bids for August. Bids for Si: 72% grade stood at RMB 6,030/t ($840/t), reflecting a slight rise of RMB 430/t ($60/t) m-o-m against the July tender price of RMB 5,600/t ($781/t). The price includes all taxes and freight charges to HBIS Group facilities.

ZCE futures edge down: Ferro silicon futures on the Zhengzhou Commodity Exchange (ZCE) for October 2025 delivery fell by RMB 132/t ($18/t) w-o-w to RMB 5,688/t ($792/t) on 18 August, down from RMB 5,820/t ($810/t) on 11 August.

Outlook

Considering the current market scenario, ferro silicon prices are expected to stay within current range only with slight variations.