- Transportation woes, slow steel demand hit domestic market
- Domestic price faces near-term pressure; recovery hinges on demand
Domestic silico manganese prices in India have been on a downtrend over the past few weeks, weighed down by sluggish demand from the downstream steel sector. Market participants attribute the slowdown largely to the monsoonal impact, which has disrupted transportation and restricted smooth movement of material across key consuming regions.
According to BigMint’s assessment on 9 September 2025, domestic silico manganese (60-14 grade) prices in Raipur stood at INR 69,400/t ($787/t) exw, down by INR 300/t ($3/t) w-o-w, while in Durgapur, tags were at around INR 69,100/t ($784/t), falling by INR 500/t ($6/t). Vizag saw the drop of INR 500/t ($6/t) to INR 69,000/t ($782/t).
The premium 60-15 grade remained stable w-o-w, trading between INR 70,000-71,000/t ($798-810/t). Meanwhile, trade volumes in Raipur remained steady at approximately 1,100 t.
Confirmed deals (as per BigMint)
Market overview
Weak demand, rising stocks pressure domestic silico manganese: With limited offtake from buyers, smelters are witnessing a buildup of inventories in major producing hubs. This stock accumulation has further pressured prices, as sellers are forced to cut offers to generate liquidity and clear volumes. Market participants highlight that the monsoon impact on transportation has hampered smooth material movement, delaying deliveries and discouraging fresh procurement. This, in turn, has led to rising inventories at smelter hubs, further weighing on sentiment. Sellers, facing limited offtake, have been forced to trim offers in an attempt to clear volumes and manage liquidity.
Industry sources indicate that unless transportation improves and steel demand revives, domestic silico manganese prices are likely to remain subdued in the near term. Smelters, already grappling with thin margins, are expected to face continued challenges if the demand environment does not show signs of recovery.
Export prices extend decline on weak demand: Silico manganese export prices softened further this week as sluggish demand and lower seller offers weighed on the market. Participants noted muted inquiries from traditional buying regions, while global steel mills remained cautious in procurement, adding pressure to alloy prices.
According to BigMint’s latest assessment, SiMn 65-16 export prices slipped by $3/t w-o-w to $920/t FOB, whereas the 60-14 grade saw a sharper drop of $10/t to $819/t FOB. However, traders noted that even in the export market, demand remains thin with limited inquiries, reflecting overall sluggishness in the global steel sector.
Outlook
Domestic silico manganese prices are likely to stay under pressure in the near term, with weak transportation and muted overseas demand limiting any recovery. A rebound is expected only if logistics improve and export inquiries pick up.
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