Merchant BF Met coke producers located in the eastern region of India have increased prices by INR 300-500/MT. In Mar’15-Apr’15, prices may move up by INR 200-300/MT.
Visa SunCoke closed its last deal at INR 13,500/MT (ex-works) to a Chhattisgarh based blast furnace operator and hence, lifted prices to around INR 14,000/MT. It has recently offered the material at INR 14,200-14,300/MT (ex-works) to eastern region based blast furnace operator.
Prices of other major merchant Met coke producers namely Jindal Stainless and Bengal Energy are INR 13,500/MT and INR 13,500-13,800/MT ex-works respectively.
What Factors are supporting Price Rise?
1. Coking coal importers are receiving the material at an extended time span because of congestion at ports in eastern region. Importers have to bear additional costs of congestion charges on demurrage.
2. Shortfall of rakes has hit quick transportation of Coking coal from port to coke oven plants, thus, impacting Met coke production.
3. Price reduction of up to INR 1,350/MT by Odisha based Iron ore miners since the beginning of Jan’15, has increased Pig iron production. Therefore, Met coke demand from Pig iron manufacturers has improved too.
Indian Met Coke Prices
| Company | Prices |
| Visa SunCoke | 14,000 |
| Jindal Stainless | 13,500 |
| Bengal Energy | 13,500-13,800 |
| Gujarat NRE (Gujarat) | 13,500-14,000 |
| Gujarat NRE (Karnataka) | 13,900-14,400 |
| Saurashtra Fuels | 13,700-14,200 |
| Maharashtra based | 14,500-15,000 |
Ex-works Prices are in INR/MT
Source: SteelMint Research
Gujarat NRE is offering Met coke at INR 13,500-14,000/MT (ex-works, Gujarat) and INR 13,900-14,400/MT (ex-works, Karnataka). Prices are expected to rise by around INR 100-200/MT till Mar’15, which have been constant in the past 6 months.
While, prices of Saurashtra Fuels are in the range of INR 13,700-14,200/MT (ex-works, Gujarat) and it is anticipated to remain at around similar level in the weeks to come.
Logistical advantage and reasonably good demand from Maharashtra and Chhattisgarh based customers have given scope for price rise by INR 300/MT to INR 14,500-15,000/MT (ex-works) for Maharashtra based suppliers.
Import Market
Met Coke
| Date | Grade | Quantity | Receiver | Remarks | Port | Vessel Name | Origin |
| 14 Jan’15 | – | 24,750 | Various | Anchorage | Haldia | Samjohn Light | China |
| 26 Jan’15 | Nut Coke | 12,500 | Balasore/Visa Resources | Berth | Paradip | Gem of Paradip | China |
| 29 Jan’15 | Nut Coke | 17,350 | Various | Expected | Haldia | Gem of Paradip | China |
| 1 Feb’15 | Lam Coke | 14,700 | N/A | Expected | Krishnapatnam | Richmond | China |
Quantity in MT
Provisional data
Source: SteelMint Research
1. Balasore Alloys/Visa Resources had booked 12,500 MT low phosphorus (below 0.02%) and 10-40 mm Nut coke at USD 206/MT, CFR India, which is used to make Ferro chrome. Because of superior quality, the material is expensive and has been imported from China. Since 26 Jan’15, the vessel (Gem of Paradip) is at berth at Paradip Port.
2. Mesco Steels recently finalized 30,000 MT (+/-10%) Met coke import deal at USD 187.5/MT, CNF India for delivery during mid-Feb’15.
3. Exporters in China are offering Met coke at USD 190-193/MT, CFR India. Depending upon negotiation between the buyer and seller, deals may possibly settle in the price range of USD 185-192/MT CFR India
4. Offers from China have weakened because low demand in domestic market has increased supply. Plus, downward trend in prices has pushed Indian importers to wait-and-see. On the other side, supply from Russia has improved owing to depreciating Rouble.
5. Importers sense 2-2.5% fall in offers from Chinese exporters post Spring festival, which are expected around USD 190/MT, CNF India in Mar’15 .
Nut Coke
Indian importers are being offered Nut coke at USD 185-190/MT, CFR India.
Coke Fines/Breeze
Coke Fines/Breeze offers to India are in the range of USD 133-140/MT, CFR India.
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