Indian Ferro Manganese Producers have been incurring a loss for quite some time now. The prices have been at much lower levels. However, since last week, the prices turned positive amid low availability. A Raipur based Ferro Manganese producer shared that most of the Ferro Manganese producers converted into LC/MC Ferro Manganese and Silico Manganese as the imports hampered the domestic market. In the intervening time, this also created a shortage of supply in the domestic market. In the intervening time, the Manganese Ore prices in the global market gradually increased and the down streaming Manganese Alloy prices have also been rising. The rise in Silico Manganese prices is more obvious and the current assessments are at, INR 58,500/MT in Ex-Raipur and INR 60,000-61,000/MT in Ex-Durgapur. Driven by this, the Ferro Manganese prices have also been going up. Although the offers of HC Ferro Manganese have slightly increased, the demand is still low and the procurement is still timid. Conversely, a Durgapur based Manganese alloy manufacturer shared that the people are working with the low priced Manganese ore right now, which they ordered 2-3 months back, therefore, after a long time of depression, there are chances of making some margin.
Current assessments are at INR 60,000/MT Ex-Durgapur and INR 60,000-61,000/MT Ex-Raipur. The inventory levels with the producers are also very low and most of the producers are only catering to the previous orders. Export quality HC 70% is being offered at USD 840/MT FOB India and HC 75% is offered at USD 890/MT FOB India.
On the future outlook, the prices may continue to be stable and may not increase until the Manganese ore prices increase to significant levels.
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