- Regional prices diverge as prices correct downwards in western India, stable in east
- Cost pressures persist, but buying appetite remains selective
Prices in the Indian metallurgical coke (met coke) market were mixed across regions in the week ended 17 December 2025. While markets in eastern India managed to hold ground, western markets face price pressure amid weak demand and ample inventories.
In eastern India, blast furnace (BF) grade met coke (25-90 mm) was assessed at INR 32,000/tonnes (t) ex-Jajpur on Wednesday, unchanged week-on-week (w-o-w). Conversely, BF-grade met coke prices ex-works Gandhidham were assessed at INR 29,800/t, down INR 400/t w-o-w. Foundry-grade met coke prices also edged lower, with ex-Rajkot assessments at INR 35,800/t, declining INR 200/t over the week.
Factors impacting Indian met coke prices
Cost pressure – Producers in Eastern India maintained offers, but margins remained under strain. Rising coking coal costs are increasingly squeezing profitability. Notably, Australian coking coal FoB offers have surged by $10/t w-o-w. Additionally, INR hit a record low against the US dollar, falling below 91 on Wednesday, making imports costlier.
Distressed sales in western India – Western India saw sluggish demand, while stock levels stayed comfortable to high. According to market participants, some producers resorted to distressed selling to manage inventory pressures.
Supply-demand dynamics remained uneven across regions. Eastern markets benefited from relatively stable consumption, but cost-side pressure intensified as Australian premium hard coking coal prices rose by $11/t w-o-w to $217/t FOB. In contrast, western markets faced weak offtake, forcing sellers to adjust prices to stimulate buying interest.
Pig iron prices in India inch down – Steel-grade pig iron prices ex-works Durgapur were assessed at INR 32,100/t, down INR 150/t w-o-w. NMDC’s Nagarnar steel plant auctioned 12,000 t of steel-grade pig iron on 16 December, with the entire volume booked at an average of INR 30,300/t by rake, subject to management approval. This was slightly higher than the INR 30,000/t achieved in the previous approved auction held in November.
New round of met coke price cuts expected in China – Rumours about new price cuts circulated in the Chinese metallurgical coke market on December 16, as demand for the raw material is expected to remain weak in in the near term. Meanwhile, sluggish support from the cost front further clouded the market outlook, as per Mysteel.
Outlook
The Indian met coke market is expected to remain under pressure through December, as market is looks fro clarity on further anti-dumping policy announcements from the government. Rising coking coal costs may lend cost support, but weak downstream demand, especially in western India, could cap any immediate upside. Market participants are likely to stay cautious, closely watching steel production trends and inventory movements before taking fresh positions.
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