- Stable coke oven operations at steel mills, improved production boost supply
- High feedstock, processing costs, tight supply lift prices despite mixed demand
India’s crude coal tar (CCT) market witnessed a significant rise in auctioned volumes during April 2026, with total quantities offered through plant auctions at 48,500 t, according to auctions tracked by BigMint. The higher availability was mainly attributed to stable coke oven operations at integrated steel plants (ISPs) and improved production levels, which collectively boosted domestic supply during the month.
Despite the sharp increase in offered volumes, market participation remained mixed across producers, as buyers closely monitored pricing trends and downstream demand conditions before taking aggressive positions.
According to BigMint’s monthly assessment, in eastern India, crude coal tar prices increased by INR 1,850/t m-o-m to settle at INR 52,300/t exw Rourkela in April 2026. The uptrend in prices came despite mixed demand trends. While demand from downstream carbon black manufacturers and coal tar distillation units remained firm and consumption from the chemicals sector was steady, several buyers remained cautious amid elevated base prices. Additionally, elevated feedstock and processing costs and limited spot availability in certain pockets of the eastern region continued to support market fundamentals.
Full allocation at SAIL Bhilai, Rourkela auctions reflects healthy demand
Among the major suppliers, Steel Authority of India Limited (SAIL) Bhilai offered 4,194 t during the month, with the entire quantity successfully booked. The healthy response reflected sustained procurement interest from regular buyers amid stable downstream operating rates and expectations of continued firmness in domestic prices.
Similarly, SAIL Rourkela offered 7,000 t, which was also fully allocated. Market participants remained active in the auction due to the plant’s consistent material quality and firm downstream demand from distillation and carbon product manufacturers.
SAIL Durgapur sees muted buying amid expectations of price correction
In contrast, buying activity at SAIL Durgapur remained comparatively weak despite substantial availability. The plant offered nearly 22,600 t across multiple auctions during April; however, buyer participation was limited as several consumers anticipated lower base prices in subsequent auction rounds.
Participants largely adopted a cautious procurement strategy, citing elevated reserve prices and expectations of improved supply in the domestic market. The sharp increase in auction quantities across mills also reduced urgency among buyers, leading to selective bidding behaviour during the month.
NMDC Nagarnar, RINL add to overall market supply
Meanwhile, NMDC Limited’s Nagarnar plant offered 4,000 t across two auctions, contributing further to domestic market availability. The continued participation of newer integrated steel capacities in the auction market has gradually improved supply liquidity in recent months.
RINL also offered 840 t during April, with the entire quantity successfully booked. The full allocation reflected stable demand from regional consumers despite prevailing higher price levels.
Outlook
India’s crude coal tar prices are likely to remain firm in May, supported by steady downstream demand and elevated processing costs. While stable coke production may keep supply comfortable, buyers are expected to remain cautious amid high auction base prices and improving availability.
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