Silico Manganese prices fell marginally on lacklustre end-user demand.
The mainstream domestic offer price of Silico manganese 60/14 is around INR 61,000/MT (Ex-Durgapur) and INR 62,000/MT (Ex-Raipur).
Silico Manganese prices softened in the domestic market on sapping demand due to demonetization of higher value currencies. Market participants reported a sharp fall in demand post Govt. of India’s ban on higher denomination notes of INR 500-1000. Buying interest has dropped significantly. Looking at the decline in sales volumes Indian Silico manganese producers have dropped their offer levels. Moreover, prices may come under further pressure if situation persists for some more time.
Indian Silico Manganese Export Market Running Steady
In the export market, Indian producers have reduced offer levels marginally buoyed by the depreciating Rupee against the Dollar. The Indian players have decided to cut their offers to garner greater buying interest, as a stronger dollar boosts the sales in rupee terms. Indian producer sources reported of robust overseas demand for Indian Silico Manganese. Silico Manganese 60-14 is being offered at USD 965 /MT FOB East-coast India, and Silico Manganese 65-16 is being offered at USD 1080 /MT FOB East-coast India.
At the moment we’re seeing large-scale Steel production cuts across India, so buying interest in Silico Manganese will continue to be low in the domestic market and Indian producers will have to rely much more on export sales.
Leave a Reply