India: Metcoke import prices continue rallying upwards on supply tightness

India’s imported metallurgical coke prices continue to move upwards on acute supply tightness amid steady steel production rate of blast furnaces across Asian countries.

Met coke import prices are rising steadily across major originating countries in the Asia-Pacific region, owing to increased import demand from China. Overall buying interests among Indian market participants are also relatively higher according to most traders.

CoalMint currently assesses the spot blast furnace metcoke price for the 64% CSR grade at $364/t CNF India, up 10.6% from 30th Nov.

The 62% CSR grade BF metcoke is currently assessed at $355.00/t CNF India — also up by 10.9% from 30th Nov.

Meanwhile, India’s domestically produced metcoke prices are relatively stable from past few weeks, supported by consistent demand from the domestic steelmakers. Indian domestic metcoke prices of the 25-90 mm, blast furnace grade are currently hovering at around INR 25,500/t (east coast) and INR 26,000/t (west coast).

Globally, spot prices for imported metallurgical coke have been rising consistently as a result of short supply led by robust import demand from China, the largest worldwide consumer of met coke.

China’s domestic met coke supplies have tightened after widespread replacement and reduction of outdated coking capacities, while higher levels of steel production have boosted demand for blast furnace coke and prices within China.

The resultant stronger Chinese import demand for met coke has created availability tightness in the wider Asian seaborne metcoke market, giving rise to coking plants’ willingness to push up prices.

India Coal Import Vessel Lineup

CoalMint’s latest vessel lineup data (as on 28 Dec’20) reveals that an aggregate shipment volume of 140,852 t of imported met coke has arrived at different Indian ports last week – 49,482 t at Vizag, 44,000 t at Krishnapatnam port, 24,370 t at Haldia and 23,000 at Paradip.

These inbound met coke consignments have been sourced from different originating countries, viz. China (21,982), Colombia (23,000), Indonesia (27,500 t) and Poland (68,370 t).

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By Aditya Sinha