Prices of silico manganese were unmoved over the week as producers are waiting for the upcoming SAIL tender results.
Domestic Silico Manganese kept stagnant this week, with most producers keeping prices unchanged. Most sources of the view that the soaring manganese ore prices will lend support to the Silico Manganese market, and the producers will have to increase alloy prices further to maintain operating margins. “Prices are likely remain at this level in this week as with the upcoming SAIL tender result, producers will get a better direction to set their offers.” said a Raipur-based producer.
SteelMint assessed prices for grade 60-14 for both Raipur and Durgapur is INR 52,000/MT. According to sources, Prakash Industries is currently offering Silico Manganese at INR 49,000/MT (Ex-Champa).
SAIL Silico Manganese Tender
SAIL had invited a tender from indigenous manufacturers for tentative purchase of 60,940 MT silico manganese for its different plants. The Bid submission due date and the Techno-commercial opening date is on 27 Sep’16.
Silico Manganese Export Offers Finds No Acceptance
Indian-origin Silico manganese demand in the export market was visibly low this week, although offers have increased marginally. Silico Manganese 60-14 is being offered at USD 770/MT FoB East Coast of India and 65-16 grade is being offered at around USD 830/MT FoB East Coast of India.
Demand for silico manganese was visibly low in the export market as international buyers are not accepting higher offers. Indian producers said that it was very difficult to lower their offers as ore prices were high. A Kolkata based producer remarked, “If buyers ask for discounts and are not willing to accept our offers, we will have to stop production.”
SteelMint assessed that most market participants are hopeful of a strong post-monsoon market, tracking a recovery in steel consumption.
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