etcoke prices have again drifted upwards, being fueled by stronger demand. Heavy import booking by Indian cement makers have created stronger demand for the refinery by-product in the key overseas markets, resulting in the foreign refineries lifting their export offers.
Offers for Petcoke (6.5% Sulphur) from USA have risen to around USD 108/MT CFR India, up by around USD 12/MT over the rates in the week last. However, sellers in Saudi Arabia are yet to quote their offers for Feb’18 loading as they were reported to be judging the ongoing market demand before deciding upon their offers. The last known offers for Petcoke(9% Sulphur) from Saudi Arabia were at around USD 93/MT CFR India.
Source: CoalMint Research
As the Indian refineries set their ex-works prices on the basis of import price parity, the domestic prices also have been raised following the hikes in the international prices.
Reliance Industries Limited (RIL)—the largest Petcoke producer in India—has raised its ex-works price by INT 300/MT to INR 8,000/MT. Essar—the second largest producer—also has hiked its ex-works price by INR 300/MT to INR 7,985/MT.
Source: CoalMint Research
However, Mangalore Refinery and Petrochemicals Limited has kept its ex-works price unchanged from the price at INR 6,950/MT, which was raised to this rate on 1 Jan’18.
Consumption of Petcoke will remain strong in India as the cement producers are using it as the prime fuel.
On the other hand, prices of USA origin coal are at around: USD 108/MT (6900 NAR) and USD 101/MT (6500 NAR) respectively on CFR India basis.
IMPORTS
During the 1-12Jan’18, around 138,644 MT of Petcoke was imported, data collected by CoalMint Research shows. The imports will go up as substantial import booking were already done.
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