- Competitive offers from Raigarh trigger rate cuts in other regions
- Need-based buying dominates as domestic steel demand weakens
Domestic prices of silico manganese declined by an average of INR 400/tonne (t) ($5/t) w-o-w across regions. The drop is attributed to surplus supply and need-based demand from steel mills, indicating a cautious buying approach and oversupply conditions.
According to BigMint’s assessment on 30 July, domestic prices of the 60-14 grade were recorded as follows: Ex-works prices in Raipur were at INR 72,300/t ($828/t), while tags in Durgapur stood at around INR 72,200/t ($827/t). In Vizag, prices were at INR 72,100/t ($826/t).
Meanwhile, the premium 60-15 grade was also down slightly w-o-w, trading in the range of INR 73,000-74,200/t ($834-849/t).
In Raipur, 3,100 t of 60-14 grade silico manganese were traded, up from 2,000 t in the previous week. Despite the increase in volumes, market sentiment remained cautious, with a bulk deal concluded at lower rates contributing to continued downward pressure on prices.
Confirmed deals (as per BigMint)
Market review
Steel prices hold steady with minor gains, but demand weakness looms: Billet prices remained largely stable w-o-w, with a slight uptick of INR 600/t ($7/t), but recorded a minor decline in recent days. As of 30 July 2025, BigMint’s billet index was at INR 37,400/t ($428/t) exw-Raipur.
Market activity slowed further during the week, with spot offers under pressure due to weak demand. Buying remained muted across both semi-finished and finished steel segments, as participants continued to adopt a cautious, need-based procurement strategy.
Smelters’ margins squeezed as buyers gain leverage in weak market: Smelters faced increased pressure amid a combination of declining alloy prices and rising production costs, driven by a slight uptick in imported ore tags. The situation was further strained by competitive offers from Raigarh, with prices at around INR 71,500/t ($818/t) exw, sparking concern across other key regions.
These aggressively low offers forced producers in other areas to reduce their rates to close domestic deals, resulting in additional discounts for buyers. The overall sentiment remains weak, with smelters struggling to maintain margins under cost pressure and market competition.
Outlook
Domestic silico manganese prices may face slight downward pressure due to cautious buying from the downstream steel segment. However, the rise in imported ore costs could prompt smelters to reassess production strategies, potentially stabilising domestic market dynamics.
Additionally, the market is also awaiting MOIL’s August delivery offers, which are expected to provide clearer direction for pricing and sentiment in the coming weeks.
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