MOIL hikes prices by 5% across product basket

State-run manganese producer MOIL today hiked ore prices by five% across most of its product range for the October-December quarter in line with global trends.

However, the rates were hiked by 10% for a particular grade ore -- Mn 25%.

"In line with company's business practice of quarterly revising the prices of manganese ore, the prices of each grade of manganese ore except for Mn 25% grade has been increased for the quarter October-December, 2013 by 5% over the prices for July-September, 2013," the company said in a filing to the Bombay Stock Exchange.

A company official said the prices were hiked in view of increase in global prices of the ore.

Manganese ore is a key raw material for steel production and it requires about 32 kg of manganese to produce a tonne of steel.

MOIL, the country's single largest manganese ore producer with the capacity of producing 1.1 million tonnes (MT), sells 58 types of products in categories like ferro, silico, chemical etc grades.

The hike has been effected with effect from October 1.

Following the hike, price of first grade lump manganese ore now vary from Rs 343 a tonne to Rs 31,000 per tonne.

At present, MOIL operates 10 mines, six located in the Nagpur and Bhandara districts of Maharashtra and four in the Balaghat district of Madhya Pradesh.

Shares of MOIL closed at Rs 208.05, up 1.94% from their previous closed on the BSE.