Offers for Indian Silico Manganese edged down on account of soft demand in the market.
“Silico Manganese market lack buying interest despite a strengthening steel sector in India,” said a producer source while discussing his lowering sales volume.
“Silico Manganese producers are satisfied despite being deprived of support that was earlier provided by global Manganese Ore prices,” said another source. High Manganese Ore prices were adding to the cost, diminishing our margins, he added.
A cut in Silico Manganese production has established a point of satiety among the market players by reducing selling pressure.
SteelMint assessed Silico Manganese offers at INR 70,000-71,000/MT (Ex-Raipur) and INR 69,000-70,000/MT (Ex-Durgapur).
Inquiries from overseas markets have been weak as well and are the prime reason for falling Silico Manganese prices. The export offer remains unchanged at USD 1090/MT FOB India for 60-14 grade and USD 1190/MT FOB India for 65-15 grade. India, being the largest Silico Manganese exporter in the world, exported 794,754 MT in CY17, with major importers being Japan, Taiwan, UAE, Italy, and Thailand amongst others.
“There have been some inquiries from Iran but flat from other parts of the globe,” said a producer source.
On the future outlook, the sell-side participants are of the view that stability will prevail in the market until demand rebounds.
Leave a Reply