- Sponge iron prices in India surge w-o-w
- Domestic coal prices remain stable
BigMint’s assessment for portside prices of South African thermal coal in India showed mixed trends w-o-w. RB2 (5500 NAR) prices remained unchanged at INR 8,450/t exw at Gangavaram, while RB3 (4800 NAR) rose to INR 7,200/t exw. At Paradip, offers for RB2 were stable at INR 8,500-8,600/t exw, and RB3 firmed up to INR 7,350/t. Exw-Vizag offers for RB2 were heard at INR 8,200-8,300/t.
Freights from the Richards Bay Coal Terminal (RBCT) to Paradip stood at $14.2/t, up by $0.6/t w-o-w. Vessel freight rates have risen on improved inquiries and increased fixtures. Notably, South Africa’s non-coking coal exports surged 52% m-o-m to 6.83 million tonnes (mnt) in March, rebounding from 4.50 mnt in February, as per BigMint data. The sharp recovery follows earlier disruptions in February, when railway issues impacted shipments. The overall volume for Q1 2025 stood at 17.27 mnt.
Market updates
- South African coal export offers: RB2 rose by $0.50/t w-o-w to $76/t FOB, while RB3 increased by $2/t to $61.50/t FOB as on 03 Apr.
- Domestic coal prices stable: Indian coal prices stayed firm this week, with 4500 GCV and 5000 GCV grades unchanged at INR 4,500/t and INR 4,950/t exw-Bilaspur, respectively. As per sources, in SECL’s 29 March auction, bids hovered close to floor levels, with marginal declines. Out of 2.5 mnt on offer, nearly 2 mnt came from Gevra and Dipka, of which 1.75 mnt was booked, said sources.
- Sponge iron prices surge: Indian C-DRI prices rose to INR 28,000/t exw-Rourkela, up by INR 650/t w-o-w, supported by firmer steel prices.
Outlook
Portside prices may continue to edge up, particularly if freight rates remain elevated and steel market sentiment stays strong. However, demand will depend on domestic auction pricing and availability.
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