Up-swings in Coking Coal offers have continued as demand was up on account aggressive purchases by Chinese steel makers.
Rising domestic prices in China has prompted the steel makers there to scale up imports of the coal not only for the daily consumption but also for stocking. This has substantially strengthened the demand for the coal in the key international markets, triggering the coal prices upwards.
The latest offer for the Premium HCC is assessed higher by around USD 4.25/MT, at around USD 168.25/MT FoB Australia, that the offer in the week last. The recent offer for the 64 Mid Vol HCC is assessed at around USD 149.70/MT, a rise of around USD 5/MT over the week-ago offer.
Source: CoalMint Research
For Indian buyers, these offers amount to: USD 179.95/MT and USD 161.40/MT respectively on CFR India basis.
In the meantime, the buyers in India are considering diversifying the countries of import to tackle price volatility. SAIL is learnt to be in talks with Teck Resources of Canada for purchasing Coking Coal.
IMPORTS
Active steel production in India has resulted in influx of substantial imports of the coal into the country. During the 1-17July’17 period, around 2.29 MnT of Coking Coal was imported in India, data compiled by CoalMint Research shows.
Leave a Reply