- Limited enquiries amid financial year-end, bids remain below offers
- Freight rises to $26.4/t, but trading activity stays muted
South African thermal coal prices at Indian ports inched up by INR 100/t w-o-w. As per BigMint’s assessment, ex-Paradip RB2 (5,500 NAR) held at INR 11,900/t, while RB3 (4,800 NAR) remained unchanged at INR 10,500/t. At Vizag, 5,500 NAR decreased marginally by INR 50/t to INR 11,900/t, while 4,800 NAR remained stable at INR 10,400/t. A deal for 15,000 t of 5,500 NAR was recorded at INR 12,100/t exw-Vizag.
Market participants indicated that buying interest remained weak, with sponge iron demand yet to pick up. The market largely followed a wait-and-watch approach, with limited enquiries and no bulk deals amid financial year-end considerations.
Offers remain firm, bids lag
Export offers were heard around $98/t FOB for RB2, with bids near $94/t, while RB3 was offered at $77/t FOB against bids near $72/t, reflecting a persistent bid-offer gap.
As per BigMint’s assessment, freight from Richards Bay to Paradip increased marginally by $0.4/t w-o-w to $26.4/t, keeping delivered costs elevated.
Portside inventories rise amid selective arrivals
Portside thermal coal inventories across India increased 1.9% w-o-w to 12.38 mnt in week 12, compared with 12.15 mnt in week 11, indicating a mild recovery supported by fresh arrivals at select west coast ports.
Indian sponge iron prices drop marginally
Meanwhile, sponge iron P-DRI DAP Durgapur decreased by INR 200/t w-o-w to INR 26,100/t. Buying activity remained low to moderate during the day, with only limited transactions taking place. Demand from both the finished and semi-finished steel segments remained moderate, with buying activity staying limited due to the ongoing price correction in the market. Participants continued to adopt a cautious approach, resulting in largely need-based procurement rather than aggressive bulk buying, which kept overall market sentiment restrained.
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