Prices of Chrome Ores for Exports to China on Move

BEIJING, June 29 -- The movements of spot prices for imports of chrome ores into China in an early part of June were as per the table attached hereto. A sudden and remarkable change of the prices was not seen compared with that in an early part of May but the circumstances surrounding chrome ores are already changing to a considerable extent. The business to import chrome ores into China in the second half of 2009 has a strong possibility to take back its vitalities.

    China imported 6.84 million tons of chrome ores in 2008 and played the role of having risen steeply international prices of chrome ores but this active demand for chrome ores from China had shrunken from October to December quarter of 2008. However, the international price of high carbon ferrochrome to import into China has turned to rise from April of 2009 and Indian high carbon ferrochrome had once taken the offensive to sell at discounted prices but even lowered price of Indian product has recently recovered to a level of 72 to 75 US cents per pound of Cr CIF. In view of this change on the market situation, the movements to resume production of ferrochrome in China are now coming up to the surface.

    The latest movements concerning chrome ores in the world market are as follows:

    1. It was informed that the Government of Zimbabwe has a possibility to determine the regulations to prohibit exports of chrome ores. Zimasco of Zimbabwe resumed producing ferrochrome from April to May of 2009 and, therefore, this country has aimed to export value-added product

    2. In expectation of a rise of prices for chrome ores in the near future, Turkish exporters of chrome ores have kept up their stocks of chrome ores and deferred the time to sell these stocks, having taken an attitude to watch carefully about further movements of prices for chrome ores.

    (Source: TEX Report Limited)