South Africa Cr ore producers lamented as market declines

BEIJING (Asian Metal) 7 Nov 08- The economy crisis in America and Europe that has continues to spread like thread of s spider has continues to weaken consumers demand and resultantly affecting prices. In many parts of the globe, there is no real market going on with prices are quoted based on limited deals concluded or speculations and rumors.Asian Metal Copyright In many parts of the globe, there is no real market going on with prices are quoted based on limited deals concluded or speculations and rumors.Asian Metal Copyright

Chrome ore market has come to a stand still without movement as Chinese consumers continue to break contracts and further worsening market situation.

The dollar traded mixed against most other major currencies, while gold prices turned higher. And dollar revaluation over major currencies have continues to put pressure on the market.Asian Metal CopyrightBEIJING Asian Metal 7 Nov 08- The economy crisis in America and Europe that has continues to spread like thread of s spider has continues to weaken consumers demand and resultantly affecting prices.Asian Metal Copyright

A producer source in South Africa said chrome ore market is devastating because Chinese consumers panicked; so created a bigger mess for some producing countries of ores, resultantly caused prices to collapse. “All exporting countries of chrome ore are in problem because many Chinese companies have reneged contracts, and this has set Chinese many years backward and their act is unprofessional," said the source.Asian Metal CopyrightA producer source in South Africa said chrome ore market is devastating because Chinese consumers panicked; so created a bigger mess for some producing countries of ores, resultantly caused prices to collapse.Asian Metal Copyright There is around two millions tons of chrome ore at various Chinese ports which consumers refused to accept after the supplier has shipped the cargo.Asian Metal CopyrightAnother producer source in South Africa informed that contract prices for chrome ore have decreased and producers too have cut down production except for refractory and foundry grades that they are still having few enquiries though their prices to have dropped to USD450t FOB South Africa port for foundry and USD600-650t FOB South Africa for refractory.Asian Metal Copyright There is no real price in China market regarding chrome ore at the moment because there is no business done.Asian Metal Copyright There is no real price in China market regarding chrome ore at the moment because there is no business done.Asian Metal Copyright

Meanwhile, most big ferrochrome companies have closed their furnaces so there is no demand for metallurgical and also chemical grades. He said though there might be some shipment to China at the moment, it is as a result of letter of credit. Foundry price has dripped by USD50/t to USD500/t FOB South Africa port, while refractory consumers in China have shut down because of lack of demand.Asian Metal CopyrightBEIJING Asian Metal 7 Nov 08- The economy crisis in America and Europe that has continues to spread like thread of s spider has continues to weaken consumers demand and resultantly affecting prices.Asian Metal Copyright The source speculates a turn around in market second half of next year.

Another producer source in South Africa informed that contract prices for chrome ore have decreased and producers too have cut down production except for refractory and foundry grades that they are still having few enquiries though their prices to have dropped to USD450/t FOB South Africa port for foundry and USD600-650/t FOB South Africa for refractory. He sold 900t of foundry grade with 46% Cr yesterday ay USD480/t FOB Durban packed in containers and bags.