South African 5500 NAR (RB2) Coal, which is currently in high demand by Indian manufacturers, is assessed in the range of USD 75-76/MT CIF East Coast of India; based on quantity and delivery period.
For an instance, a capesize vessel for September delivery is offered at USD 75/MT. Whereas, an importer is receiving supramax/panamax vessel at USD 76-77/MT CIF India for September deliveries.
With rising Coal prices in the domestic market, imports have been surging continuously.
It is heard that a consortium of Sponge iron manufacturers in Central India have bought two capesize vessels of South African Coal at around INR 6,700/MT; delivered to their plant. This comes out to be around USD 77/MT CIF East Coast of India.
Another Sponge unit has confirmed to buy 6000 NAR (RB1) cargo at around USD 84/MT CIF India for September delivery.
“A Mumbai based trader mentioned that Indonesian 4200 GAR is offered at USD 37/MT FOB, while buying interest is seen at USD 35/MT. However 5000 GAR is offered at USD 52/MT with bid interest at USD 50/MT FOB.”
Indonesian market has been sluggish on the backdrop of ample stock and limited buying interest from China and India, which are the major buyers of Indonesian grades. Currently Indonesian 3400 GAR is at USD 24/MT FOB for September & October delivery though the bid level is at USD 21-22/MT FOB.
“We are receiving a lot of inquires from Central India which is quite exciting, demand has been good so far specially for South African RB2 Coal,” said an importer based in Indore.”
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