Indian Silico Manganese prices witnessed an upswing aided by rising demand coupled with limited supply.
“Demand in Durgapur remains moderate but power shortage in plants resulted in limited productions of the commodity,” said a producer source expressing his concern over power cuts.
Another source revealed that most of the small scale producers are producing off-grade products of 40-10 and 50-12 grades which are generally sold at bulk (200 MT min). This is being preferred by the small producers as their entire production for the month gets booked at once. This is one of the reasons for low production of 60-14 in Durgapur.
However, few producers in Raipur are focusing on 65-16 grade due to increasing overseas inquiries for the particular grade, creating a shortage of 60-14 in the region as well. Demand for the commodity has also picked up in the domestic market on backdrop of strong steel fundamentals in India.
SteelMint assessed Silico Manganese offers at INR 65,000/MT for both Raipur and Durgapur.
Demand from overseas market is also healthy. Export offers are assessed at USD 1000/MT FOB India for 60-14 grade and USD 1100/MT FOB India for 65-15 grade.
On the future outlook, Silico Manganese offers are expected to remain firm in the near future with chances to gain further ground along with strengthening steel market.
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