Manganese Ore offer prices have increased for November delivery, tracking Silico Manganese prices in China
Manganese Ore prices are firm in the international market due to improved demand of Silico Manganese in the Chinese domestic market which enables buyers to pay a better price for South African Carbonate Ore. The South African Semi Carbonate Ore is characterised as a cost effective Manganese Ore. Price for South African semi-carbonate Ore ranges between USD 4.50-4.55/DMTU for November, 2013 shipments, which is within end users' acceptance and enjoys certain advantages over high grade manganese ore.
Price of Manganese Alloys is still holding firm in India, despite limited buying interest. However, there is a some respite for stakeholders as volatility in the currency market has minimised. MOIL has increased its Manganese Ore prices 5-10% for October-December, 2013 quarter which received a mixed response from the Ferro Alloy producers we had spoken to, as it further adds to the production cost. MOIL is also strategically following the international prices and adjusting their price in line with international prices and the demand situation in India for the Ore. Stock levels of Manganese Ore is very low and some furnaces are even operating at hand-to-mouth situation. There are fewer offers for imported Manganese Ore in the market mainly due to bad logistics in South Africa and a temporary shut-down of operations at Port Elizabeth for maintenance work.
International prices of Manganese Ore are mainly driven by Chinese demand and it is expected to remain firm at least for the current quarter. SteelMint assessed that Silico Manganese prices typically set the direction for Manganese Ore prices.
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