According to Mining News Pro -The current trade levels are considerably high which prompted us to raise our offers,β said a source justifying the sharp rise in Ferro Silicon prices.
βIt was very much expected as buyers are replenishing their stocks,β commented another source referring to the present scenario.
Producers are low on inventory as most of them are booked in advance and with increasing demand, there has been a short-supply situation.
The current market is observed to be very volatile as deals are heard to have been concluded at various prices. SteelMint assessed Ferro Silicon offers at INR 92,000/MT (ex-Bhutan) and (ex-Guwahati).
The overseas demand for Ferro Silicon is also encouraging with Europe restocking for Q4, being the prominent market presently.
The export offers are assessed to be unchanged at USD 1,320/MT FOB Kolkata with deals were concluded in advance earlier. However, participants expect the offers to rise for October shipment.
Moreover, a producer mentioned about the logistical issue due to the limited number of vessels which results in an additional exporting cost.
Moving ahead, market participants are of bullish sentiment expecting the prices to skyrocket in the near future.
http://www.miningnewspro.com/en/News/268262/India: Ferro Silicon Prices Rise Steeply on Robust Demand