- Cement buyers delay procurement amid ample inventories
- US NAPP coal offers stiff competition due to better economics
India’s pet coke imports declined 12.5% to 0.7 mnt in May 2026 from 0.8 mnt in April 2026. On a y-o-y basis, imports fell sharply by 46.2% compared with 1.3 mnt in May 2025, reflecting weak cement demand, the approaching monsoon season, and growing preference for alternative fuels. Market participants indicated that buyers largely remained on the sidelines as expectations of further price corrections reduced urgency for fresh purchases.
US remains top supplier
The United States continued to dominate India’s pet coke import basket in May, supplying 0.3 mnt, although volumes declined from 0.5 mnt in April and 0.6 mnt in May. Saudi Arabia and Venezuela each supplied 0.1 mnt, remaining broadly stable m-o-m. New arrivals were also seen from China, Mexico and Oman, each contributing around 0.1 mnt during the month.
Cement buyers remain cautious
Cement producers continued maintaining a cautious procurement approach despite the correction in prices. Most consumers remained adequately covered with inventories and preferred consuming existing stocks rather than making fresh purchases.
The approaching monsoon further weakened buying interest, with several market participants indicating that attention had already shifted towards August-delivery cargoes rather than prompt shipments. Procurement remained largely requirement-based, while buyers continued waiting for prices to move closer to $130/t CFR India before returning aggressively to the market.
Ultratech remains largest importer
Ultratech Cement remained India’s largest pet coke importer in May, importing around 0.2 mnt, broadly stable compared with April. Reliance Industries also imported around 0.2 mnt, maintaining its position among the top buyers.
Birla Corporation and JK Laxmi Cement imported around 0.1 mnt each, while Ambuja Cement, Nuvoco Vistas, Aditya Birla and Shri Cement were absent during the month after active participation in April.
Domestic supply and alternative fuels reshape demand
India’s domestic pet coke production stood at 0.98 mnt in April 2026, down 12.9% y-o-y from 1.12 mnt in April 2025. On a cumulative basis, domestic pet coke production during FY’26 stood at 14.77 mnt, compared with 14.96 mnt in FY’25, indicating a marginal decline of 1.3%. Despite lower domestic output, imported pet coke demand remained weak as buyers increasingly optimised fuel mixes. Market participants noted that imported pet coke prices corrected significantly during May. US-origin 6.5% sulphur pet coke offers declined to around $137-142/t CFR India by the end of May from $145-150/t in mid-May. As per BigMint’s assessment, average US-origin 6.5% sulphur pet coke prices, CNF Vizag, fell to around $149/t in May from $166/t in April.
Cement producers continued favouring alternative fuels wherever economics permitted. As per BigMint’s assessment, US NAPP coal, ex-Kandla, declined to INR 13,638/t in May 2026 from INR 14,960/t in April 2026, improving coal’s competitiveness against pet coke. The correction encouraged cement manufacturers to maintain flexible fuel strategies and defer fresh pet coke purchases.
Competition from coal continued to weigh heavily on pet coke demand. Imported pet coke prices corrected sharply during May, improving competitiveness against US NAPP coal. However, comfortable domestic coal availability and regular auction supplies continued reducing urgency for imported fuel procurement.
Market participants indicated that many cement producers had already secured US thermal coal cargoes earlier and therefore showed limited interest in fresh pet coke purchases. The focus remained on optimising fuel costs through flexible fuel blends rather than rebuilding inventories.
Domestic pet coke prices show mixed trend
Domestic pet coke prices witnessed mixed revisions in June 2026. Nayara Energy reduced its pet coke price by INR 1,670/t to INR 19,330/t, while CPCL lowered prices by INR 450/t to INR 19,300/t amid improved availability and softer imported pet coke prices. In contrast, BPCL increased prices sharply, with Bina prices rising to INR 21,000/t and Kochi prices to INR 19,500/t. MRPL also raised prices by INR 270/t, taking rake prices to INR 15,590/t. The mixed revisions reflected differing regional demand-supply conditions and refinery-specific market strategies.
Outlook
India’s pet coke imports are likely to remain subdued in June as monsoon-related demand weakness, comfortable fuel inventories, and cautious buying sentiment continue limiting procurement activity. Although lower pet coke prices have improved competitiveness against coal, buyers are expected to remain selective until prices stabilise and cement demand shows clearer signs of recovery.
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