United Manganese of Kalahari (UMK) today announced that the company will be pausing all road freight transportation of manganese and switching exclusively to rail.
The decision comes in response to challenging market conditions, said chief executive Malcolm Curror. “Presently, stockpiles in major markets like China are healthy, and this has led to a decline in demand,” said Curror. “While the price of manganese enjoyed a buoyant period in the middle of the year, it was short-lived, and current market conditions do not support the need for multiple transportation methods,” he added.
As part of this strategic shift, UMK will also limit exports to align with current supply and demand dynamics. The move is aimed at ensuring responsible management of resources while navigating fluctuating market trends.
“UMK remains committed to optimising operational efficiency and minimising disruption of business continuity through the exclusive use of rail for manganese exports,” Curror noted. The company will continue to monitor global market conditions and adjust its strategy as needed to maintain sustainable growth.