NEW YORK Low water levels along the Mississippi River
are starting to affect ferroalloys traffic, market sources told
We are certainly going to have this next barge affected.
Our customers will be supplied, but its certainly going
to cost money to make that happen, a source at
ferrosilicon producer FerroAtlántica Group SA told AMM,
adding that the company would likely have to transport material
by rail or truck rather than by barge.
One trader told AMM
that he had experienced delays in
shipping material, but that there had been little
Some market sources who are expecting material early in 2013
I will be affected (if the situation persists), because I
have material coming in the first of the year, one
supplier source said.
Sellers with long-term contracts could see a squeeze on their
If you have contracts, youre going to eat it.
Its not like you can declare force majeure or
anything, one ferrosilicon market source said.
Should the situation continue much into the new year some
sources said that a surcharge system could be implemented.
In addition, the upcoming cold weather is a source of concern.
Then youve got icing issues, the source at
Madrid-based FerroAtlántica said.
The Institute of Scrap Recycling Industries warned last
month that all barge traffic on the Mississippe River between
St. Louis and Cairo Ill.could come to a halt by Dec. 10 unless
the U.S. Army Corps of Engineers takes emergency action to
ensure water levels do not fall below what is necessary to
support inland waterway navigation, barge transport (
amm.com, Nov. 28