Silico Manganese prices corrected downwards as producers reduced their offers to garner greater buying interest amid lower demand for the Alloy.
The Indian Silico Manganese market has continued to see a low level of demand with prices coming off accordingly.
A source revealed to SteelMint that most of the producers are accepting lower counteroffers in order to meet their working capital expenses during the early period of the month. He describes it as a cash-crunch situation witnessed by the producers.
A trader from Raipur explained that he has not had many inquiries lately as most of his customers are covered with adequate stock. “The market has dipped but has not yet found stability, and there are varied offers in the market. I don’t see prices bouncing back as demand will remain poor for the next week too.”
The present Silico Manganese offers are assessed at INR 64,500/MT (Ex-Durgapur) and INR 63,000/MT (Ex-Raipur).
While discussing on the export market, another source mentioned that the Indian offers are on the higher side, as other exporting countries like Ukraine are offering at lower prices.
Another reason pointed out for diminishing export margins is the fulfillment of European requirement, as Europe earlier imported a significant amount of Indian Silico Manganese production.
However, on the brighter side, the reluctant merchant traders will resume their operations in October as they have been notified about their GST reimbursement by GOI.
The export offers assessed to have corrected downwards to USD 1120/MT FOB India for 60-14 grade and USD 1170/MT FOB for 65-15 grade.
In the coming days at least till Diwali festival (coming in the next week) lower Silco Manganese prices are expected amid oversupply and weak demand.
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