- Decline in steel prices weighs on SiMn demand
- Sellers do panic selling to offload inventory
The domestic silico manganese market recorded a w-o-w decline. As of 22 April 2025 , prices for the 60-14 grade dropped by INR 950/tonne ($11/t) from the previous week, based on BigMint’s assessment. Prices fell across major trading regions by INR 70,700-71,100/t ($828-832/t).
In Raipur, offers ranged between INR 70,500-72,000/t ($825-$843/t). Meanwhile, in Vizag, prices were between INR 69,900-72,500/t ($818-849/t) exw.
Confirmed deal (as per BigMint)
Market overview
Dip in steel prices weighs on demand: The decline in domestic steel prices has significantly impacted the silico manganese market w-o-w. Weak demand from the steel sector, compounded by reduced production in response to sluggish market conditions, has reduced the need for silico manganese. BigMint’s daily steel billet index stood at INR 41,000/t exw-Raipur on 23 April, down by INR 350/t w-o-w.
Need-based purchases dominate market: Buyers in the silico manganese market are adopting a cautious approach, making need-based purchases rather than bulk buying. Many steel manufacturers and traders are limiting their orders to immediate requirements, driven by uncertainty about future price movements. This cautious stance has kept trading volumes lower and has intensified the downward pressure on prices.
Panic selling adds to downward pressure: In an attempt to move excess inventory, some market participants have engaged in panic selling, further dragging prices down. Facing liquidity challenges and with limited buyers in the market, sellers have been slashing prices to accelerate transactions. This rush to offload material has created a volatile market, amplifying the overall downward price trend.
Silico manganese export market remains weak: The silico manganese export market continues to struggle, with subdued demand from key international buyers. The lack of significant export orders has forced domestic producers to focus more on local markets, which are already oversupplied. This has resulted in increased competition and further pressure on prices as producers fight for limited domestic demand. BigMint’s assessment on 22 April, 2025, showed export prices of the 65-16 grade at $935/t FOB, down by $6/t w-o-w. The 60-14 variant also edged down by $5/t to $841/t FOB.
Additionally, the decline in imported manganese ore prices from last two weeks has had a ripple effect on silico manganese pricing. With lower ore costs, producers are finding it more difficult to maintain higher silico manganese prices, leading to reduced price floors in the domestic market.
Outlook
Silico manganese prices may remain under pressure in the near term due to weak domestic demand, sluggish exports, and lower ore costs.
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