- Monthly coal export shipments from South Africa drop over 30% m-o-m
- Domestic coal prices rise after prolonged stability
South African thermal coal prices at Indian ports extended gains w-o-w amid tight availability and firm import sentiment. As per BigMint’s assessment, exw-Paradip 5,500 NAR increased by INR 300/t to INR 10,000/t, while 4,800 NAR rose by INR 400/t to INR 8,600/t. At Vizag, 5,500 NAR gained INR 400/t to INR 9,900/t and 4,800 NAR increased INR 500/t to INR 8,500/t. Portside coal prices at Paradip are hovering at nearly 2 year high levels, as per data maintained with BigMint, as similar levels were seen in Jul’24.
Export offers for 5,500 NAR were heard above $90/t FOB, with freight from Richards Bay to Paradip around $14.40/t.
South African January exports had declined 33.2% m-o-m to 4.03 mnt in Jan’26, tightening prompt supply. Improved buying interest from South Korea and concerns over Indonesian production cuts continued to support global price direction.
This week’s trades
Market activity strengthened, with several concluded parcels reported across ports. Around 1,000 t of 5,500 NAR was concluded at INR 9,550/t exw-Mangalore, followed by another 3,000 t at INR 9,500/t. A further 1,000 t parcel was concluded at INR 9,500/t exw-Mangalore.
A larger 13,500 t cargo of 5,500 NAR was booked at INR 9,550/t exw-Mangalore. At Ennore, around 10,000 t was concluded at INR 10,200/t, another 10,000 t at INR 10,300/t, and a separate 10,000 t parcel at INR 10,600/t.
Latest offers for 5,500 NAR were heard above $90/t FOB, reflecting firmer export sentiment and tighter availability expectations.
Domestic coal prices in India rise in recent auctions
Domestic non-coking coal prices increased w-o-w after nearly two months of stability. As per BigMint’s assessment, 4,500 GCV rose by INR 50/t to INR 4,850/t, while 5,000 GCV increased by INR 100/t to INR 5,850/t. Stronger bids at the 12 February SECL auction reflected buyers’ preference for domestic coal amid elevated imported coal offers.
Thermal coal portside inventories in India inch up
Total portside thermal coal inventories across India rose 3% w-o-w to 13.35 mnt in week 6 from 12.96 mnt in week 5. Despite the overall build, availability of specific South African grades remained tight at select ports, keeping spot offers elevated.
Sponge iron prices in India inch down w-o-w
Sponge iron P-DRI DAP Durgapur decreased by INR 900/t w-o-w to INR 25,500/t.
Outlook
The widening differential continued to influence buying strategies, with domestic coal gaining preference in several segments. Looking ahead, sentiment is expected to remain firm, supported by higher export offers, freight strength and Indonesian production cut discussions.
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