Coal demand intact, prices weak

Demand for imported coal to India remains intact in the medium to long run. However, imported coal prices are under pressure owing to strong dollar and monsoon in India. Dollar recently touched an all-time high of Rs 57.32.

A trader based in Mumbai said,”In the last one month, import prices have come down by over 10% owing to over-supply and strong dollar. Revival of demand may take more than a month. However, medium to long term demand for imported coal is good looking at weak domestic supply.”