Silico Manganese prices have found support at current levels, showing very little indication of change, with a lack of buying interest from Steel mills.

Currently prices of Silico Manganese are INR 52,500-53,000 /MT (Ex-Raipur), INR 54,000 /MT (Ex-Vizag) and INR 53,000-53,500 /MT (Ex-Durgapur).According to sources Prakash Industries (Ex-Champa, Chhattisgarh) is offering Silico Manganese at INR 52,000 /MT, up by 1000/ MT from previous week’s prices.

[su_quote]A trader from Durgapur remarked,“Prices are firm, as supply is restricted due to low material on offer from Tata Silicomag, due to some issues with rake unloading[/su_quote]

Most Silico Manganese producers have opted to cut production levels in sight of poor demand from steel mills. A Silico Manganese producer based in Raipur remarked on the current market scenario, “Silico Manganese prices are depressed by the persistent problem of output overcapacity in India, and demand has failed to match the supply.”

Export Market

In the export market, Indian producers have raised offer levels in line with strengthening of the Rupee, although are met with low demand as Christmas holidays loom. Silico Manganese 60-14 is being offered at USD 880 /MT FOB East-coast India, and Silico Manganese 65-15 is being offered at USD 990 /MT FOB East-coast India.

Steel Mint assessed in India the Rupee volatility made for a challenging environment, because from a buyer’s point of view whatever price is quoted is irrelevant the next day. Market sources are of the view that the demand for Silico Manganese will remain sluggish and are uncertain as to when market conditions will improve.

Exchange Rate: USD 1= INR 61.88