Strong import demand has continued to trigger upward momentum to Coking Coal prices.
As a consequence of active steel making in China, demand for the coal was significantly strong that pulled the prices upwards in the key international market. At the same time, there were rumors in China of the domestic prices of the coal to go up in the future that also compounded to the strong import demand.
Global offers for the Premium HCC is reported at around USD 194.50/MT FoB Australia, which is up by around USD 2/MT over the week-ago offer. However, offers for the 64 Mid Vol HCC is reported almost steady at around USD 170.95/MT FoB Australia, over the offers reported in the week last.
Source: CoalMint Research
For Indian buyers, these offers translate into: USD 206.20/MT and USD 182.65/MT respectively on CFR India basis.
In the meantime, a major steel producer is heard to be considering raising its steel prices due to the escalating input costs, arising out of higher Coking Coal prices.
In India, Bharat Coking Coal Limited and Central Coalfields Limited—subsidiaries of the state-run Coal India Limited—are heard to be mulling raising their Coking Coal ex-works prices in view of the prices in Australia getting higher.
IMPORTS
Coking Coal imports continued to come into India due to the higher steel production going on in the country. During the 1-14 Aug’17 period, around 1.8 MnT of Coking Coal was imported in the country, data collected by CoalMint Research shows.
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