COMMENT: There is more to the rising charge chrome prices than production cuts

At first glance, the steep rise in charge chrome prices in April suggests the removal of three of South Africa’s seven producers from the market in just eight months has started to have a straightforward effect.

Less material means higher prices.
Charge chrome prices hit 62 cents per lb on Friday April 22, their highest level so far this year.
As South African producers look ahead to the country’s electricity price hike in June, as the winter tariff kicks in, the upward trend is likely to continue.

But there’s another factor at play that’s had more of an impact...


Janie Davies

April 24, 2016

15:00 GMT