[Ferro-alloys.com] The end of National Day Holiday meant the majority of early October was nearly over. HBIS and Shagang Group had released flat purchase prices of ferrosilicon for October delivery. Steel prices were on the decline and supply of ferrosilicon seemed enough. Market prices of ferrosilicon kept steady in China’s main production regions.The main stream ex-work tax-inclusive prices remained steady, with FeSi75# being RMB5,900-6,000/mt(USD962-979/mt) and FeSi72# being RMB5,600-5,700/mt(USD913-930/mt). Low Al ferrosilicon prices remained steady.

Major Chinese ferrosilicon exporters kept flat offers with much difference. Export price of ferrosilicon ranged from the lowest of USD1,350/mt to the highest of USD1,400/mt FOB at Tianjin port. Chinese cheap products via a third country had continued to be scarce. The export which was disguised as other products increased after June, but decreased in September as the crackdown in the China's side was strengthened from August.

FeSi75# declined to €1,110-1,145/mt from the previous €1,140-1,195/mt in European markets and 96-99 cents/lb in US market. Demand was steady in India and ferrosilicon prices remained steady in Indian and Bhutan. Ex-work price of FeSi75# remained Rs76,500/mt (USD1,249/mt) in Guwahati, Ex-work price of Bhutan FeSi75# stayed at Rs 78,500/mt (       USD1,281mt). Export prices of FeSi70-75# remained USD1,320/mt FOB at Kolkata. Contract prices of FeSi75# remained USD1,360-1,380/mt CIF at Japanese ports. FeSi75# was USD1,250-1,300/mt in South Korea.

Analysis: October purchase prices of ferrosilicon were basically flat, some new ferrosilicon projects had sign of coming on stream later on in some main production regions and cold weather was likely to enable the improvement of overall operation rate. To sum up, the supply of ferrosilicon seemed to be plentiful in China and ferrosilicon market prices were likely to remain flat in mid October in China.

• [Editor:Phillip.Feng]