Pumping production to tackle pricing pressure: MOIL

The price of Manganese Ore has come down globally, and Indian companies like MOIL are facing the heat. However, KJ Singh, the company's chairman and managing director says that the production mix is being played around with, in order to 'sustain the pressure'.

Below is a transcript of KJ Singh's exclusive interview with CNBC-TV18. Also watch the accompanying video. Q: What has been happening with prices since we understand there has been another big cut in prices globally? A: There is pressure of prices; however we are comfortable since we are increasing our production. We are also enhancing our product mix in order to sustain the pressure. Q: Can you take us through how much the prices have come down across various grids, in the current quarter? How much would your blended utilizations have come down to? A: Since the last quarter, there is a pressure of 35%. Prices have come down internationally and hence, India is also facing the same problem. Q: Are the volumes intact or have volumes started inching down as well for MOIL? A: There is demand since 90% of Manganese Ore is consumed by steel and there is an increase in steel production by 16%, of course, supply too has increased. Q: There has been a bit of an inventory liquidation that has taken place in the industry over the last month or so because of the pile up that existed. What is the situation right now for your company, in terms of inventories and do you expect that to cause further pressure on prices? A: We are able to sell our Manganese Ore; our last year