India: Domestic silico manganese prices recover to 1-month high on limited availability

• Strategic supply control by smelters supports high prices
• Limited export trade may pressure tags despite tight supply

India’s prices of domestic 60-14 grade silico manganese increased by INR 1,100/tonne (t) ($13/t) w-o-w to around INR 70,800-71,900/t ($827-840/t) exw on 20 May 2025, as per BigMint’s assessment. The increase was driven by limited supply, which prompted buyers to close deals at higher prices.

The premium 60-15 grade also saw a slight w-o-w increase to around INR 73,000-74,500/t ($870-876/t) exw in Durgapur and Raipur compared to INR 72,500-73,500/t ($847-859/t) last week. Prices in Raipur climbed to a one-month high, with similar levels last seen in mid-April 2025, as per data maintained with BigMint.

Confirmed deals (as per BigMint)

Market overview

Smelters hold firm offers as supply tightens: Indian smelters maintained firm offers at around INR 72,500/t ($847/t) exw in Raipur and Vizag, given inventory management measures. In response to low profit margins and volatile ore prices, most smelters cut silico manganese production by 30% across India, to control surplus and stabilise tags. As a result, immediate deliveries were limited, with dispatches typically taking 4-5 days.

A key buyer from Durgapur was of the belief that the recent price increase was likely to be sustained only in the short term due to limited export activity. The market is currently awaiting new export orders, and a slight decline in prices is expected in the near term. This is despite tight supply following production curbs and suppliers focusing on the fulfilment of previous orders.

Additionally, the firm offers were also driven by previous strong export bookings extending through mid-June 2025. This focus on dispatching older export orders also constrained domestic supply.

Steel prices remain steady w-o-w: BigMint’s daily steel billet index was assessed at INR 40,100 /t ($461/t) exw-Raipur on 21 May 2025, stable w-o-w. Buying activity in both the semi-finished and finished steel segments remained moderate during this week, which supported the stability in steel prices.

Outlook

As per BigMint’s analysis, domestic silico manganese prices may see minor fluctuations in the short term. The market remains sensitive to steel price movements and is influenced by mixed demand trends both domestically and internationally.