India: Silico Manganese Prices Close to Bottom; Producers keep prices firm

As the Silico Manganese prices have been falling continuously in the past few weeks, the wait and watch mood intensifies in the downturn market. Silico Manganese prices seem to have bottomed out and any further downward movement is unlikely, but no one can say for sure as the producers are willing to clear up their inventory and with the sluggish steel market scenario, buyers are not willing to pay more and are negotiating aggressively. Indian and Chinese Manganese Alloy producers are postponing their Manganese ore import consignments and are refraining themselves from further imports as they believe the ore prices to go further down. Huge production cuts are being experienced in the major producing areas of the country. Producers are operating with lower utilization rates to keep up with the market.

In the domestic market, prices are firm in Raipur with producers offering at INR 57,000/MT, meanwhile, in Durgapur, the prices slipped down by INR500/MT. Producers in Durgapur are offering Silico Manganese(60-14) at INR 58,000/MT. In the export market, prices remain unchanged, producers are offering 60-14 grade at USD 810-820/MT and 65-16 is being offered at USD 920/MT FOB India.

On the future outlook, the market may find it difficult to pick up the short term as the Silico Manganese market remains unstable and there is a lack of confidence in the overall steel market.