India: Imported manganese ore prices remain constant even amid strengthening alloys tags

• Manganese alloys prices on the rise
  
  
• Weekly cargo arrivals inch up
  
  

Imported manganese ore prices have remained relatively stable this week despite a recent increase in demand.

• Australian high-grade ore: Australian high-grade (46% Mn) ore witnessed stable at around to $4.52/dmtu w-o-w.
  
  
• Gabonese high-grade ore: Prices of Gabonese high-grade (44% Mn) remained constant w-o-w to $4.23/dmtu.
  
  
• South African ore: South African lumps (37% Mn) saw a stagnant w-o-w to $4.11/dmtu. Limited upward price movement is possible due to existing production cuts in the region and sufficient inventory with smelters.
  
  

Market overview

Smelters tread carefully amid market volatility: Indian smelters are adopting a cautious approach to manganese ore procurement, prioritising inventory management in the face of an uncertain market outlook. With sufficient inventory levels to meet current demand, smelters are exercising prudence in their purchase decisions to mitigate risks and maintain financial stability.

Manganese alloys prices on the rise amid output cuts: Domestic manganese alloys prices in India have experienced an increase this week, driven by limited supply and delayed deliveries. The rise in silico manganese prices can be attributed to recent production cuts by smelters and heightened support from imported manganese ore. Specifically, prices for the 60-14 grade have risen by INR 1,100/t ($13/t) w-o-w, reaching INR 68,300-69,200/t ($796-807/t) exw in Raipur, Durgapur, and Visakhapatnam.

Similarly, prices for Indian ferro manganese (HC 70%) have also increased, with Raipur seeing a rise of INR 2,000/t ($23/t) to INR 72,900/t ($850/t), and Durgapur experiencing a hike of INR 2,100/t ($24/t) to the same price level. This w-o-w price surge reflects the impact of production curtailments among the majority of smelters in key producing regions, contributing to the overall tightness in the market.

However, consumption of imported manganese ore primarily driven by major manganese alloys producers like China, which has helped to keep prices stable on limited buying of imported ores. This trend has also reflected in India, where strategic buying of ore has contributed to maintaining price levels.

Import arrivals edge up w-o-w: Manganese ore import arrivals to India edged up by 3% w-o-w, with shipments totalling 60,207 t between 18 and 24 December compared to 58,536 t in the previous week.