South Africa is known for economic Ferrochrome exports. This interview session with Subhrakant Panda discusses if the former statement is still true?
Q. Is there any new capacity addition in the Indian Ferrochrome industry?
A. There is not any major capacity addition coming up in the near future as far as my knowledge is concerned, but I am reading in the newspapers that various projects have been evaluated. Meanwhile, we are exploring the possibility of adding further capacity. We follow an integrated business model, which mean that without ore and power we’ll certainly not add further capacity. But, with the commissioning of our new power plant, our power generation capacity has gone up by 250 MW, we’ll have 40-50 MW surplus power which can sustain 0.07 to 0.1 MnT of Ferrochrome production. So we are evaluating on how much to add and within what time frame?
Q. How do you see the demand situation in the domestic and international market?
A. We are currently exporting almost 80% of our capacity because the domestic demand situation is little sluggish and some of the large consumers of Ferrochrome are producing on their own. We generally export against long term contracts; so we do not have any off-take problem. But the international market is certainly picking up.
Q. Which are the countries your company is exporting?
A. We export to Far East countries like China, Japan, South Korea and little bit to the European countries.