Indian Silicon Manganese offers corrected upwards as new inquiries arise creating a supply shortage.
“We are low on inventory as supply remains limited with us while demand has pulled up,” said a producer source referring to the uptick in Silico Manganese offers. He further added that supply shortage of 60-14 grade still persists.
SteelMint assessed Silico Manganese offers at INR 72,000/MT (Ex-Durgapur) and INR 71,000/MT (Ex-Raipur), while producers are quoting INR 73,000/MT at Durgapur and INR 72,000/MT at Raipur with a confidence of finding acceptance at those levels.
Overseas demand is observed to have gained ground as new inquiries from China has been received, due to output cuts ordered by their government to curb pollution.
A source revealed to SteelMint that buyers are cautious about a further rise in offers of the commodity on the backdrop of rising prices of other ferroalloys and are trying to purchase in advance. Moreover, he added that as holidays are nearing, the buyers are keen on stocking.
Export offers of Silico Manganese are assessed at USD 1,100/MT for 60-14 grade and USD 1,170/MT for 65-15 grade. However, a source mentioned that they are getting a better price in domestic market only.
On the future outlook, market participants expressed a positive view of the commodity post winter holidays, as they expect the offers to remain firm on increasing demand from domestic as well as overseas markets.
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