India: Imported manganese ore prices remain firm w-o-w as manganese alloys prices edge up

• Smelters take cautious approach to procurement
  
  
• Manganese alloys prices strengthen amid production cuts
  
  

Imported manganese ore prices have remained relatively stable across grades in recent weeks, with only nominal increases observed.

• Australian high-grade ore: Prices for Australian 46% Mn ore have stabilised at around $4.52/dmtu, with a slight increase of $0.20/dmtu seen w-o-w.
  
  
• Gabonese high-grade ore: Prices for Gabonese 44% Mn ore have remained constant w-o-w at $4.21/dmtu. This stability is attributed to high inventory levels at the portside and limited demand for ore, leading miners to maintain their current pricing.
  
  
• South African lumps: Prices for South African 37% Mn lumps have shown a slight increase of $0.02/dmtu w-o-w to $4.11/dmtu. However, an upward price movement is expected due to ongoing production cuts in the region.
  
  

Market overview

Smelters adopt cautious stance amid market uncertainty: Smelters are currently adopting a cautious approach to procurement due to an uncertain market outlook. While the combination of sufficient ore inventory with manganese alloys producers and improving export inquiries have led to a slight price increase, smelters are still exercising prudence in their purchase decisions. Despite recent increases in manganese alloys prices, imported manganese ore prices have seen limited upward movement.

As per sources, high inventory at ports in South Africa and Gabon has led to reduced demand for ore and there is currently stability in imported ore prices. There is limited upside potential. If demand for ore remains weak in the near term, the existing inventory levels can further dampen price increases.

Indian manganese alloys market strengthens: This week, domestic silico manganese offers in India increased due to constrained supply and strong seller offers, indicating a shift in market dynamics towards sellers. Prices for the 60-14 grade rose by INR 1,150/t ($13/t) w-o-w to INR 67,300-68,000/t ($788-796/t) exw in Raipur, Durgapur, and Visakhapatnam. The 65-16 grade is priced at $915/t FOB Vizag/Haldia, up $23/t w-o-w.

In contrast, domestic steel billet prices decreased by INR 200/t ($2/t) to INR 39,150/t ($459/t) exw-Raipur as of December 28, 2024.

Ferro manganese (HC 70%) prices have surged by INR 2,950/t ($35/t) to INR 70,900/t ($830/t) exw in Raipur, and by INR 3,000/t ($35/t) to INR 70,800/t ($829/t) in Durgapur, driven by limited market supplies and production cuts in key regions. Additionally, HC 75% ferro manganese prices increased by $13/t w-o-w to $923/t FOB Vizag/Haldia.

Import arrivals fall w-o-w: Manganese ore import arrivals to India fell by 56% w-o-w, with shipments totaling 58,536 t between 11 and 17 December compared to 132,310 t last week.