- Prices remain firm amid tight supply, strong auction demand
- Tight supply persists, SAIL-Bhilai’s fresh auction offers near-term relief
The Indian crude coal tar market remained relatively firm during late August and early September, supported primarily by limited availability of material from major integrated steel producers, with some coke-making facilities undergoing planned maintenance. The supply constraints appear to have strengthened buyer interest for available cargoes, although high base prices continued to limit participation in certain auctions.
RINL-Vizag sold its entire 210 t crude coal tar offering in the 1 September 2026 auction at a weighted average price of INR 52,000/t, reflecting firm demand amid constrained market availability due to planned maintenance at some plants. Notably, RINL did not conduct any crude coal tar auction in August 2026, further limiting recent availability from the producer.
At SAIL-Rourkela, the auction held on 31 August 2026 also witnessed complete clearance, with 9,850 t sold at a weighted average price of INR 54,089/t. This marked a significant improvement in participation compared with the previous auction on 26 August 2026, when only 150 t out of 10,000 t was sold. The earlier weak response was largely attributed to the higher base price, despite the limited quantity eventually sold fetching a higher weighted average of INR 57,955/t. The subsequent full clearance at a lower average price suggests that buyers remained price-sensitive but were more willing to participate when offered at comparatively acceptable levels.
Meanwhile, SAIL-Bhilai has announced a fresh crude coal tar auction for 9 September 2026, offering 3,002 t across 30 lots. The additional availability could provide some near-term relief to buyers; however, overall market sentiment is likely to remain supported as long as planned maintenance at other facilities continues to restrict supply.
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