Indian Ferro Manganese prices have gained ground after a persistent lack of demand earlier.
Improvement of steel sector in India helped domestic Ferro Manganese producers to raise their offers. The producers have benefited from the strengthening of the steel market.
A bullish sentiment for Ferro Manganese has been observed in the market as producers are confident of concluding deals. The present offers for Ferro Manganese grade 70% has increased to INR 74,000/MT (Ex-Durgapur) and (Ex-Raipur). However, SteelMint learnt that a major producer in West Bengal has concluded a bulk quantity deal of 500 MT at a price of INR 72,000/MT.
“The demand has improved and buyers are purchasing in bulk to escape the higher prices in coming days” mentioned a producer source.
There are only a few producers in Chattisgarh that are producing Ferro Manganese, namely – Sarda Energy, Hira Power, Girja Smelters and Metallic Alloys, which are producing HC Ferro Manganese grade 70%. According to SteelMint Research, the estimate production is around 5000-5500 MT per month.
On similar lines, Maithan Alloys , Cosmic Ferro , Rashmi Smelters , Lalwani Ferro, Shyam Ferro and Sharp Ferro Alloys are producing an estimate of 8000-9500 MT in West Bengal.
Appreciation of INR against USD has influenced the higher export offer prices, where HC Ferro Manganese grade 70% is being offered at USD 1120/MT and grade 75% at USD 1180/MT FOB India.
As April is predicted to be a strong month, Ferro Manganese consumption is also expected to be firm.
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