- Exporters struggle to adjust prices amid rising production costs
- Imported manganese ore price variations lead to export market stability
Indian silico manganese export prices have remained stable despite mixed market trends. While fluctuations in the market have created some uncertainty, the overall pricing for silico manganese exports has held firm.
BigMint’s assessment of export prices of the 65-16 grade on 7 April 2025 stood at $945/tonne (t) FOB, up by $3/t w-o-w. Meanwhile, the 60-14 variant inched up by $2/t to $848/t FOB against last week.
Reduced inquiries impact export market: Reduced export inquiries from overseas have recently affected Indian exporters, with fluctuations in imported manganese ore prices creating uncertainty in the market. Major silico manganese importing countries, including the UAE, Turkiye, and Japan, have reduced their import volumes in response to these fluctuations and prices may adjust in the near term. On the other hand, the key domestic export market, Durgapur, has received notification of a revised power tariff from DVC, which increased by INR 1.2/unit, and is likely to elevate rates to approximately INR 7/unit. This rise in power tariff has increased production costs by approximately $58/t (INR 5,000/t). Consequently, smelters and exporters are struggling to adjust their prices in this challenging environment.
Fluctuating manganese ore prices: Australian high-grade (Mn46%) ore prices increased by $0.02/dmtu to $5.5/dmtu due to limited availability and rising mining costs. Gabonese high-grade (Mn44%) ore prices also rose by $0.02/dmtu to $4.97/dmtu. In contrast, South African low-grade (Mn37%) ore prices decreased by $0.22/dmtu to $4.20/dmtu. These fluctuations have stabilised prices in the export market.
Additionally, United Manganese of Kalahari (UMK), a leading global manganese ore producer based in South Africa, has set the offer price of its 36% grade South African semi-carbonate lumps at $4/dmtu CIF China for May delivery, down by $0.5/dmtu m-o-m. This might have a negative impact on export prices.
Firm silico manganese prices in China: Chinese silico manganese (Mn65%, Si: 17%) prices were steady w-o-w at RMB 5,930-6,200/t ($817-$854/t) exw, including taxes. A cautious, wait-and-see approach dominates, as futures prices showed a slight rebound and raw material movements reflected improved sentiment. Spot prices kept on consolidating at low levels.
Outlook
Silico manganese export prices for low-grade material might see a slight decline due to the reduction in low-grade manganese ore price. However, prices for higher-grade material are expected to remain firm, driven by rising production costs. This mixed trend reflects the current market sentiments and its varying dynamics.
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