Indian producers of Silico Manganese have raised offers in the domestic market owing to the weakened Rupee (Indian Rupee fell to an all-time low of 62.60/USD, making exports a more lucrative option for the manufacturers.
SteelMint learned from market sources that with greater price parity in overseas trade, Indian producers of Silico Manganese are gearing to produce higher grade material (65-16) focusing their efforts solely on exports, meanwhile creating a shortage of lower grade material (60-14) in the domestic market. Tighter availability on account of very low production has lent support to the increase in domestic prices of Silico Manganese. Silico Manganese 60-14 is currently being offered at around Rs 49,000 /MT (Ex-Raipur) and at Rs 50,500 /MT (Ex-Durgapur).
At 62.60, the Indian Rupee touched an all-time low against the US Dollar (USD). Buoyed by the depreciating Rupee against the Dollar, the Indian players have decided to further cut their offers to garner greater buying interest. Silico Manganese 60-14 is being offered at USD 795-800 /MT FOB East-coast India, and Silico Manganese 65-16 is being offered at USD 895-900 /MT FOB East-coast India.
On the future trend, most market participants believe there is a possibility of further price-rise in the domestic market, due to tighter availability expected in the coming days.
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