The price of manganese has been falling since October. As the price moves towards 2009 lows, the profitability of many high cost manganese producers is coming into question. If the miners reduce their output, prices may stabilize.
Manganese prices have remained weak due to oversupply and weak steel demand. However, emerging technologies demanding manganese may bolster prices going forward.
Critical Strategic Metals reported on the potential for manganese to help produce clean energy.
While demand for steel is expected to cool off slightly in 2011, Indian steel manufactures are aggressively seeking raw material acquisitions such as manganese mines in South Africa. India hopes to increase steel production by 67 percent by 2012.
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