- Falling billet prices push steelmakers to slow raw material procurement
- Domestic silico manganese supply rises amid muted exports, cautious buying
Domestic silico manganese (60-14) prices fell sharply across key Indian markets to a one-month low on 29 April 2026, pressured by weak downstream steel demand and sluggish export bookings. Reduced export opportunities diverted additional material into the domestic market, resulting in surplus supply across major hubs. This oversupply, along with cautious buyer sentiment and sufficient inventories, intensified competitive pricing among suppliers. Although raw material costs continued to offer some support, subdued consumption fundamentals and excess domestic availability outweighed cost pressures, dragging prices lower across regions.
As per BigMint’s assessment, Raipur’s prices dropped by INR 2,900/t w-o-w to INR 79,800/t ex-works ($842/t), while Durgapur recorded a steeper decline of INR 2,900/t to INR 79,000/t ($834/t). Vizag and Raigarh saw the sharpest corrections, both down by INR 3,700/t to INR 78,400/t ($827/t) and INR 78,500/t ($828/t), respectively.
Confirmed deals (as per BigMint)
Market overview
Alloy prices under pressure as billet prices fall: BigMint’s billet index for Raipur fell by INR 650/t w-o-w to INR 41,800/t ex-works on 29 April 2026, extending the ongoing downtrend amid weak buying interest and limited enquiries in the semi-finished steel segment. Although billet supply tightened due to heatwave-led production cuts and restrained offers from large manufacturers, weak finished steel demand continued to outweigh supply-side support.
Sluggish billet demand directly pressured domestic silico manganese prices this week, as reduced steelmaker activity dampened their raw material procurement.
Market remains fragile amid discounting pressure, cautious buying: Smelters faced muted buying interest, often having to negotiate and increase discounts as downstream participants remained in a wait-and-watch mode. The situation was further aggravated by surplus availability in the market, creating a sense of panic among sellers. At the same time, traders holding ample low-cost inventory offered competitive prices in the spot market, reinforcing expectations of a further price decline.
However, a key smelter indicated that while prices may ease slightly, any downside is likely to be limited. Rising manganese ore prices are expected to provide cost support in the near term, keeping the overall price trend relatively stable within a narrow range.
Outlook
BigMint expects domestic silico manganese prices to ease by 1-2% (INR 800-1,500/t) in the coming week amid subdued steel demand, surplus supply, and limited exports.
Additionally, South32′s $0.4/dmtu price cut for manganese ore in June 2026 may drag down South African Mn37% ore prices. This could pressure Indian prices further by reducing production costs.
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