India: Silico manganese export prices surge to over 1-month high

• Smelters flush with domestic orders till mid-Jan'25
  
  
• Inquiries surge amid supply disruptions globally

  
  
  

Indian silico manganese export prices surged by $24/tonne (t) w-o-w to their highest in over a month, with similar levels last seen in mid-November 2024. Increased inquiries from key importers drove up demand for Indian material.

Additionally, limited availability of material, with most producers booked with domestic orders until January 2025, amplified upward pressure on prices.

According to BigMint's assessments on 23 December 2024, the 60-14 grade stood at $806/t FOB, up $24/t w-o-w, and the 65-16 variant was at $903/t FOB, up $24/t w-o-w. Some major producers in Vizag and Raipur even offered 65-16, ex-Vizag/Haldia, at $910-$915/t FOB.

Confirmed deals ( as per BigMint)

Market overview

Domestic supply tightens ahead of holidays: The export market faced tight supply ahead of the holiday season, with domestic orders being given priority. Major producers are booked with domestic orders until January 2025, restricting their ability to fulfil export ones.

Additionally, there were production disruptions at major plants in Vizag, which have an estimated monthly capacity of 25,000 t. Smelters with reduced production capacity maintained relatively high offers, which supported an uptrend in prices.

Moreover, limited inventory levels among traders further exerted upward pressure on prices.

Inquiries from key importers rise: India witnessed a surge in inquiries from key importers, such as Japan, Taiwan, Turkey, and Italy, amid global supply disruptions.

While inquiries from the US and the MENA region remained stable, the overall market outlook is characterised by increased demand, which could raise prices further.

Chinese prices remain stable w-o-w: Chinese prices remained largely stable w-o-w, with a slight decline of RMB 80/t ($11/t) to RMB 6,110-6,510/t ($837-$892/t) exw, including taxes. This stability can be attributed to cautious market sentiment and weak downstream demand.

Outlook

Indian silico manganese export prices may experience a slight uptrend in the near term. This increase would be driven by rising inquiries from key importers and limited supply due to production disruptions. However, the overall outlook remains uncertain and would be influenced by global economic conditions, geopolitical tension, and competitive prices from other producing countries.