It says that producers of ferrochrome are threatened by the rising electricity prices and this is making it more profitable to export the ore, which is fetching particularly high prices in places like China.
South African ore producers have asked the government repeatedly to limit exports of chrome but the trade department has refused to do so resulting in exports of chrome rising by 888% from a low of 502 000 tons in 2003 to 4,96-million tons last year according to Fin24.
Moreover ore producers were earning about $247-a-ton last year and it was costing them less than $100-a-ton to mine.
Meanwhile, Business Report says that Merafe Resources has called on government to consider imposing export duties on the metal in a bid to cut the surge in chrome sales to China.
Merafe's Stuart Elliot says that a report with proposals to control exports will be submitted to government by next month.
