India: Domestic silico manganese prices firm w-o-w as export demand strengthens seller confidence

• Market turns seller-driven as spot availability tightens
  
  
• MOIL's 5-6% ore price cut fails to dampen silico manganese rally
  
  

Domestic silico manganese prices have moved up slightly on week ending 2 June 2026, supported by a recovery in domestic demand on elevated price and improving export demand. Although MOIL Limited reduced manganese ore prices for June 2026 deliveries across grades, alloy offers remained largely unchanged. Improved export inquiries and steady domestic demand have strengthened sellers' confidence, allowing smelters to maintain firm offers. The market has gradually shifted in favour of sellers, with transactions continuing on a need-based basis and limited pressure to offer discounts.

As per BigMint's assessment, domestic silico manganese prices increased across key markets. Raipur prices rose by INR 900/t ($9/t) w-o-w to INR 75,100/t exw ($788/t), while Vizag gained INR 600/t ($6/t) to INR 74,300/t ($780/t). Durgapur recorded an increase of INR 500/t ($5/t) to INR 74,300/t ($780/t), and Raigarh prices edged up by INR 400/t ($4/t) to INR 74,200/t ($779/t).

Confirmed deals (as per BigMint)

Market overview

Seller-led domestic market emerges amid strong June bookings: Sellers retained control of the domestic market, with most smelters resisting discounts amid elevated input costs. Recent bulk deals of around 1,500 t were concluded at approximately INR 75,000/t exw Raipur for 60-14 grade silico manganese, helping establish a higher benchmark in the market. Export demand has also provided support to prices. A Raipur-based producer informed BigMint that trader-held inventories have declined, while several major smelters are largely booked through June, limiting spot availability. With pre-monsoon buying inquiries emerging in the domestic market and export demand showing signs of recovery, market participants expect prices to remain firm in the near term.

Bulk inquiries and higher ore costs lift export prices: Silico manganese export prices rose on stronger bulk booking inquiries and higher USD-linked ore costs. As per BigMint, 65-16 grade climbed $22/t w-o-w to $904/t FOB, while 60-14 grade gained $6/t to $804/t FOB, Haldia/Vizag. INR depreciation raised landed costs, prompting sellers to hold firm offers around $910-915/t FOB.

MOIL's Ore price cut fails to impact domestic silico manganese market: State-owned MOIL Limited reduced manganese ore prices effective 1 June 2026, cutting ferro-grade ores by 5-6% and lowering SMGR, fines, and chemical grades by 5%. However, the move had little impact on domestic silico manganese prices, as stronger export demand, firm steel prices, and higher imported ore costs continued to support seller sentiment and alloy offers.

Outlook

Domestic silico manganese prices are expected to rise by INR 400-600/t in the near term, supported by improving export demand, pre-monsoon restocking, and limited spot availability. While MOIL's 5-6% ore price cut may offer some cost relief, its impact is likely to be limited as around 70% of India's ore requirement is imported and remains exposed to higher USD-linked costs.