Indian silico manganese export prices rise by $8/t w-o-w on improved inquiries

Prices for silico manganese exports from India have risen to roughly $8/tonne (t) FOB this week, due to an increase in import inquiries from the overseas markets and a shortfall in supply in both the domestic and port-side markets. In the current market, the spot prices of silico manganese are at a one-month high from 15 November, following a continuous fall in the previous few months due to limited demand from overseas.

Moreover, there was a small impasse between suppliers and purchasers. But markets are recovering with high hopes that prices will rise soon. Furthermore, output cuts by certain central and southern Indian players have kept supply tight, resulting in prices showing an uptick w-o-w.

According to SteelMint's assessments on 8 December, prices for the 60-14 grade were $770/t FOB w-o-w, and $865/t FOB, up $7/t FOB w-o-w. In addition, a few major producers in Vizag and Raipur were seen offering $880-$890 FOB (for SiMn 65-16 grade) Vizag/Haldia. Some offers for 60-14 were heard at $780-785 FoB levels, but no deals were heard. Interestingly, the INR has appreciated to 83 versus USD currently, against 83.3 seen a week ago.
Weekly confirmed deal

Global market observations this week

Imported manganese ore prices remain stable on Indian port: Prices of imported manganese ore (Mn: 37-46%) remained moderate this week, driven by lack of inquiries from key importing nations, which forced sellers to keep the prices in the same range. Prices of Mn37% were assessed at $3.7/dmtu. However, high-grade manganese ore has ex[erienced an upside from last week which has had no impact on manganese alloys with Mn44% at $4.3/dmtu, and Mn46% at $4.65/dmtu. All prices are CIF India. As overall global demand and prices followed a cautious move, manganese ore prices remained unchanged.

China market sentiments stable amid uncertain sentiments: Silico manganese prices in China stayed firm this week as the market followed a cautious approach after witnessing dull market conditions. Domestic silico manganese (Mn: 65%) acceptance offers were at RMB 6,360-6,460/t ($892-$906/t). All prices were exw, including tax.

This week's silico manganese market in China was subdued, with an ordinary trading environment. The traders were cautious in their operations because the market was in decline. The supply of silico manganese has also stayed below the threshold due to lengthy delivery time, and some firms have even reduced production.

Outlook
Inquiries from overseas have increased for the Indian material, and the prices of raw materials have minimal bearing on the rise in silico manganese pricing. Domestic production cuts have also increased, leading to lack of spot inventory which has influenced the material price to rise further. As steel procurement has improved and manganese alloy manufacturers are now more willing to increase prices, market participants' continued to anticipate higher demand.