India: South African thermal coal prices rise d-o-d amid tight stocks, higher freights

• Buyer acceptance remains limited, bid-offer gaps emerge
• Freights to Paradip rise by $5/t w-o-w, raise import costs 

South African thermal coal prices at Indian ports increased d-o-d amid tight portside availability and firm freight levels. As per BigMint’s assessment, exw-Paradip RB2 (5,500 NAR) rose by INR 300/t d-o-d to INR 12,200/t, while RB3 (4,800 NAR) remained stable at INR 10,600/t.

Despite the rise in offers, buyer acceptance remained limited. Market participants indicated that most consumers were reluctant to match the higher prices, resulting in a widening bid-offer gap across the market.

A few need-based transactions of around 5,000 t were heard near INR 12,000/t for 5,500 NAR on the east coast, though broader trading activity remained thin as buyers preferred to wait for clearer price direction.

Freight levels also moved higher. As per BigMint’s assessment, coal vessel freights from Richards Bay (South Africa) to Paradip (India) increased by $5/t w-o-w to $12.6/t, adding further cost pressure on imported cargoes.

Traders reported very limited enquiries for CIF shipments, while portside inventories were heard tight. Some shipping lines were also reluctant to commit firm delivery schedules, keeping the near-term sentiment tight but transactions largely restricted to requirement-based buying.