Silico Manganese prices gained in strength as demand improved in domestic as well as global markets.
Strengthening of steel market lent support to firm Silico Manganese prices in recent weeks, and prompted the producers to raise their offer prices. Meanwhile, the buyers are looking to procure before prices rise again. This has led to short-term supply shortages in the market.
The current offers for the Indian Silico Manganese grade 60-14 are at INR 58,000/MT (Ex-Durgapur) and INR 57,000/MT (Ex-Raipur).
The buyers of Indian Silico Manganese were observed to stock the material in anticipation of further rise in its price. SteelMint assessed that the rally is Silico Manganese prices is based on expectations of still higher prices and further tightness. Hence, offers are well accepted in the market and deals are being concluded at aforementioned prices.
Indian Silico Manganese sellers have raised export offer prices substantially. Silico Manganese 60-14 is being offered at USD 840/MT FOB East-coast India, and Silico Manganese 65-16 is being offered at USD 970/MT FOB East-coast India. Market participants reported of a sharp rise in demand from Europe, Middle-East and Japan for prompt deliveries.
The export offers have also been raised due to the appreciated value of INR against USD wherein the sellers had to increase price in order to maintain margins in Rupee terms.
After a prolonged period of inactivity due to sluggish demand, the Silico Manganese market has woken up and the current trends are set to continue for at least this month.
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