Triggered by the twin impacts of higher Coking Coal prices and stronger demand, Met Coke global offers have risen further—an indication of the steel prices possibly rising in the near term.
The latest offers for the 64% CSR Met Coke have gone up from that in the week last by around USD 12/MT to around USD 331/MT FoB China. Likewise, the recent offers for the 62% CSR Met Coke also have increased by around USD 12/MT to around USD 327.50/MT FoB China over the offers in the week last.
For Indian buyers, these offers amount to: USD 346/MT and USD 342.50/MT respectively on CFR India basis.
In India, demand for Met Coke is strong as steel makers are purchasing actively as the steel production is going on in high rates. The buyers in the country have preferred the domestic market as prices in the overseas markets are considerably high.
As the prices of Coking Coal are sky-rocketing, the Indian producers are expected to raise their ex-works prices in the near term. One producer in the west coast has raised its ex-works price by INR 500/MT recently. Other producers have, however, kept their ex-works prices unchanged.
In India, the prevailing ex-works prices for the Blast Furnace grade are: INR 21,700/MT (east coast), and INR 22,500/MT, INR 26,500 and INR 28,000/MT (west coast).
Source: CoalMint Research
IMPORTS
There was no spurt in Met Coke imports in India despite prevalence of active demand. That was due to the higher international offers, which prompted the buyers in the country to instead purchase from the home market. During the 1-28 Aug’17 period, around 0.22 MnT of Met Coke was imported in India, according to the data compiled by CoalMint Research.
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