The silico manganese prices continued to soften and buyers remained wary of procuring amid weak steel fundamentals.
SteelMint assessed the price of silico manganese grade 60/14 for both Raipur and Durgapur stands at around INR 40,000/MT. Prakash Industries is offering silico manganese at INR 39,000/MT (Ex-Champa).
Indian producers do not hold a positive outlook for the market. A source from Raipur stated, “We are extremely pessimistic at the moment as we have enough stocks with us. Even if prices bottom out, demand would unlikely return.”
Silico manganese demand has been hit quite hard by the decline in demand from steel mills. This has triggered a sharp reduction in prices. Market sources said that market situation is becoming increasingly complicated, as producers have been running at a loss and hence it is extremely difficult to predict what would happen in the near future.
Silico Manganese Export Market Down as Quiet Market Pressures Offers
Silico Manganese export prices slipped again on thin demand from international buyers and destocking pressure on producers.
SteelMint assessed grade 60-14 is currently being offered at around USD 620/MT FoB East-coast India and 65-16 is being offered at around USD 680/MT FoB East-coast India. Though prices are so low, traders from India reported that buyer expectation for grade 60/14 is around USD 600/MT FoB East-coast India.
Indian producers said there were very few deals concluded at prevailing offer levels, so tradable values could slip further. “There is simply no demand and inquiries are very thin and that too at much lower levels,” remarked a producer from Kolkata.
Market sources said that the market condition is weak and many producers could soon be under huge pressure to shutdown production.
| Silico Manganese Prices (Week 49 : 30 Nov-06 Dec’15) | ||||||
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Particular/Delivery
|
Size/Grade | Prices | Change | 1W | 2W | 1M |
| Ex-Durgapur | 60-14 | 40,000 | – 1,500 | 41,500 | 42,000 | 42,750 |
| Ex-Hyderabad | 60-14 | 42,000 | – 500 | 42,500 | 43,500 | 45,000 |
| Ex-Raipur | 60-14 | 40,000 | – 750 | 40,750 | 41,250 | 41,500 |
| Ex-Rourkela | 60-14 | 39,500 | – 1,500 | 41,000 | 41,500 | 42,000 |
| FOB India | 60-14 | 620 | – 10 | 630 | 660 | 670 |
| FOB India | 65-15 | 670 | – 10 | 680 | 710 | 720 |
Source: SteelMint Research
Prices in INR/MNT
Exchange Rate: USD 1 =INR 66.5
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