Global manganese ore prices continue to drift lower; market participants look forward to MOIL’s announcement of prices for next quarter.
Prices of imported manganese ore are under pressure as demand for manganese ore continues to be sluggish on the back of poor demand for manganese alloys. Australian manganese ore grade 46% is being offered at around USD 3.1 /DMTU CIF India. Price for 36-37% South-African carbonated ore has come down, and is being offered by BHP at USD 2.6/DMTU CIF India for October. Whereas, other miners are offering carbonated ore at USD 2.5/DMTU CIF India.
Chinese demand for imported manganese ore has also come down sharply and many Indian ferro alloy plants are operating at very low capacity utilisations. Some of them are completely shut down because of the weak demand and low prices in the market. Eramet, Gabon has also reduced its price, and is offering 44% grade at USD 2.9/DMTU CIF India.
Most market participants expect that the total output of manganese alloys in the Indian domestic market will keep at current level and the demand for manganese ore may still stay at a low level.
It is anticipated that MOIL will reduce the price of ore considering the low off-take and prevailing imported manganese ore offer prices for India.
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