India: Manganese Alloys Prices Supported by Overseas Demand

Manganese alloys prices seems to sustain on rising demand from overseas while it failed to rebound in domestic market.

Presently, Iran serves as one of the major market for Indian manganese alloys along with other countries from the Middle-East, the Far-East and Northern Africa.

“With recent appreciation of INR against USD coupled with strong demand from export market has prompted the Indian producers to raise their offers,” mentioned a producer source from Kolkata. Export offers for silico manganese grade 60-14 have been raised to USD 1030/MT (FOB India). Grade 65-15 is mainly in demand and most of the producers have started focusing on the same. Current price for the same is at around USD 1120-1125/MT (FOB India).

Demand for Ferro manganese has also been observed to be good in overseas while its price remains unchanged at USD 1120/MT (FOB India) for 70% grade and USD 1175/MT (FOB India) for 75% grade.

This trend, however, is not followed in Indian market as the production for Silico Manganese has been affected widely due to rainy season.”There has been power load restriction as water logged in some of the manufacturing units,” said a Durgapur based producer while claiming that he has been unable to take order even at higher prices due to supply constraint.

The present offers of Silico Manganese in domestic market remains unchanged at INR 64,000/MT (Ex-Durgapur) and INR 64,500/MT (Ex-Raipur).

Ferro Manganese on the other hand, is witnessing weak demand in India, which has failed to rebound. SteelMint learned from market sources that Ferro Manganese fines are being imported to Indian at lower prices of around INR 58,000-59,000/MT (landing cost), which is way lower than that of lumps available in domestic market, hence, luring the buyers.

Moreover, a producer source also blamed MOIL’s price rollover for poor performance of domestic Ferro Manganese. SteelMint assessed Ferro Manganese offers unchanged at INR 71,500/MT (Ex-Durgapur) and INR 72,500/MT (Ex-Raipur).

On the future outlook, high overseas demand for Silico manganese is expected to continue, while in case of Ferro Manganese, a downward correction of prices is likely on account of weak demand.