Coking Coal prices continue to sky-rocket and prospect of any correction in the near future will be a far cry.
Squeeze in supply in the key exporting region—Australia— at a time when demand is substantially strong has pushed prices of Coking coal to record highs.
The latest import offers of the Premium HCC were assessed remarkably higher at USD 215/MT CFR India. Likewise, import offers of the 64 Mid Vol HCC were also assessed significantly up at USD 210/MT CFR India.
The export offers of the Coking Coal variants were at: USD 205/MT and USD 200/MT respectively on FoB Australia basis.
In addition to supply constraints, strong demand emanating from the active steel mills in China and India has fueled the steep price rise.
According to inputs received, shortage of Coking coal in China has compelled the consumers there to import the coal variant at high prices, thus compounding to the price upswings.
Source: Market Participants
IMPORTS
Despite high prices, imports of the coal variant into India have remained intact, as steel companies in the country operated their plants at high rates, necessitating imports of the coal.
During the first 12 days of Sep’16, 1547.15 TMT of Coking coal was imported into the country, according to the data compiled by CoalMint Research.
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