‘Since the beginning of December,chrome ore market has been active mainly because of recent FeCr price fixation of stainless steel producers in China. However, chrome markets have been experiencing the most unvisible period for the last 10 years’, ETI KROM's President Robert Yuksel Yildirim said.

‘China imported around 7.9 million mt of chrome ore during Jan-Oct period of 2012. This quantity is almost same with the same period of 2011. In other words, Chinese FeCr producers consumed a lot of chrome ore from the stocks at the Chinese ports since FeCr production in China is increased due to less import from South Africa. We believe that the stocks are mainly made of South African chrome ores. Therefore, the Chinese buyers will demand more higher grade of concentrate ore and low grade lumpy ore from Turkey, Pakistan and Albania. That will trigger the ore prices to go higher in Q1-2013’, Mr.Yildirim continued.

‘ETI KROM will take initiative and responsibility to give a vision to industry.  We, as ETI KROM, declare our 3-month prices for Q1-2013 for chrome ore sales to China. Hence, FeCr producers may account for their future chrome ore prices and same will be also valid for alloy surcharges for  the stainless steel producers’ Mr.Yildirim added.

‘Turkish chrome industry has already entered winter period, in which the production will decline but the unit production cost will increase because of productivity decrease in the concentrate plants and mines. No surprise that 2013 labours’ salaries will be increased by around 10%  to adjust the inflation rate of 2012.

Thus, ETI KROM’s new chrome ore prices for 42% grade lumpy ore are as follows on CFR Chinese main port basis:

January 2013              : 260-265 USD/dmt

March 2013               : 280-285 USD/dmt

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