Indian silico manganese prices have been increasing since mid-November as the higher offers are getting accepted amid improving sentiment in the steel market.
There is also a supply shortage in the market, as most of the producers are fully sold out and do not have much quantity left to offer in the spot market. This has also helped in the increase in export prices despite the increased freight cost.
A major exporter of silico manganese shared that there is panic in the global market regarding the unavailability of vessels. Importers are inquiring for three months advance booking of silico manganese which has also added to the demand for silico manganese in the exports market.
Currently, producers in Raipur are quoting INR 65,000/t ex-works, while, deals have been concluded at INR 64,000/t. In Durgapur, producers are offering at INR 64,000-65,000/t ex-works. Meanwhile, export prices also up due to increased demand from European countries. Currently, 60-14 is being traded at $860/t and 65-16 at $940/t respectively.
Meanwhile, seaborne manganese ore prices ticked up on higher alloy prices in both India and China as silico manganese smelters are showed a willingness to buy imported manganese ore at current levels.
Outlook:
Indian silico manganese prices are expected to increase marginally amidst the strong domestic demand and higher imported manganese ore prices.
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