The Forcast on prices of Manganese Ore coming month

Ferro-alloys.com: The prices of Manganese ore(Mn ore) for shipment in September were offered by miners today. S32 high grade Lumpy offered 5.6usd/dmtu, usd0.10 up; Comilog high grade 44-46% offered usd5.25/dmtu. usd0.05 /dmtu up; Tshipi and UMK semi Carbinated Mn ore offered at usd4.6/dmtu, usd0.10 dropped.

  Why  did the prices of Mn ore some grew up but some down ? from the record of Chinese ports inventory till end of last week, there were around 4.02million tons of Mn ore in Tianjin Port(north),  was decreased from 4.24 million tons by the end of last month, and 1.8 million tons in Qinzhou port (south) increased from 1.6million tons. in other ports (Caofeidian, Lian yungang, Changzhou) there were about 1.2million tons of stock, in general ,the total stock of Mn ore in  Chinese ports were about 7 million tons. However, the inventory was declined by 5% in last week than end of last month. If we taked the Grades of  the inventory of Mn ore , Which Semi carbonated Mn ore was about 2.09 million tons. why it was in high inventory ? from smelters of SiMn view, the semi carbonated Mn ore cost more power energy, all plants in Inner mongolia cut their energy consumption by 10%, so they prefer to use other Mn ore and decrease the  consumption of Semi-C ore. That made high inventory of Semi-C Mn ore, and forced price drop. 

One Manganese Ore trader in Tianjin  told Ferro-alloys.com, that Semi-C Mn ore is hard to sell, and even they reduced price from 35.5yuan to 33yuan/dmtu (tax inclued) for grade of Lumpy 36% min.  Another trader in Qingzhou said, the inventoy went up in Qinzhou, that is from no demands since last month, due to 35% plants closed due to no power. 

On the Silicon Manganese market,the supply is still tight due to shortage of cargo, and Future prices in Zhenzhou Commodity Exchange(ZCX) stands around 8000yuan for Settlement in Sept. spot price confirmed at 7950-8000yuan/mt DAW(Deliver at Wharehouse) in August ,which it was already bid by some steel plants . that is the reason why other Mn Miners increased their prices of Mn ore in September delivery.

Last but not the least, Mn ore and SiMn price will keep strong but stable in August and Sept., it is possitive that demands still be there but Covid 19 still scared people and transportation. The economy  predicted in 4Q  will  be not good as  1st half of the year. For example, the price of Iron ore already dropped over 40% if compared with highest level in June.

In our view, prices of Mn ore will come down  abit after October if power situation not changed in 4Q. 

• [Editor:admin]