India: Silico Manganese prices fall amid downturn in Demand

Indian Silico Manganese producers are concerned about the recent drop in the prices amid less demand in the domestic market. Meanwhile, the international market is picking up as the demand for Silico Manganese is increasing. Manganese Ore Exports from major producing countries remained low in January and now there is a shortage in the market. However, this has created a shortage in the global market for Silico Manganese and the Silico Manganese exporters are affirmative about the increase in prices in a few weeks.

Meanwhile, in the domestic market, the prices increased initially amid higher ore prices and short supply, but now the situation is reversed and the market is yet again hit by oversupply and the selling pressure on the Silico Manganese smelters have intensified. Prices of Silico Manganese were down by INR 1000/MT to INR 63,000/MT Ex-Durgapur and in Raipur, the prices are also at around INR 63,000/MT. Meanwhile, a few deals were heard to be concluded at around INR 62,500/MT in the Raipur area. The export market is getting inquiries and the producers are holding a positive attitude. In the export market, the price increased W-o-W by USD10/MT to USD 890/MT for 60-14 grade and USD 980/MT for 65-16 FoB India.

On the future outlook, the prices in the domestic market may remain under pressure although the future correction is unlikely. However, the Manganese ore prices and the intensity of the buyer's negotiation may rule the domestic market for now.