Indian Met Coke market shows a different opinion of pricing trend for short term; however the eastern & western regions show positive sentiments on market to recover soonest.
Weak prices of international Coking Coal & Coke are letting the Indian buyer to negotiate more in domestic. However, for long term market hopes are same and expecting market to recover after Central Election.
Following to international down trend of Coking Coal prices, eastern region Coke manufacturers have reduced their prices by around INR 500-1,100/MT to cope with the market. A big Coke manufacture based in Kolkata has slashed its Met Coke (80-150 mm) by around INR 500/MT and currently offering at around INR 20,000/MT. The same manufacturer is offering 40-80 mm Met Coke at INR 17,000/MT which was sold at around INR 18,000/MT a month ago.
A Coke manufacture said, “Coke demand from Indian steel companies has slashed a bit in view of weak international steel demand and its prices. However, companies have some inherent demand so the competition is much as international Coke prices have also fallen down i.e. Coke from China is offered at around USD 235-240/MT”.
“We are expecting that Coke demand may come up after the Elections,” he further added.
Prices of Assam based Coke also reduced by around INR 1,000/MT as it is oversupplied in market and expected Coal prices remain soft owing to forthcoming election.
Guwahati Coke is mostly used by Ferro Alloy industry based in Meghalaya, Bhutan & Bangladesh. Demand from these places has dropped slightly.
Guwahati based Coke trader said, “Owing to low demand, Coke prices have been reduced and currently we are offering 40-80 mm LAM Coke at around INR 17,150/MT”.
“We are still facing the logistics issue as Assam origin Coal demand has been increased slightly from Bihar and availability of trucks has been reduced”, he stated further.
In view of low demand state owned Coke manufacturer, NINL also dropped its Coke prices by INR 1,000/MT from its last month price and offering 20-80 mm LAM Coke at around INR 17,000/MT Ex-Cuttack, for minimum quantity of 500 MT. However, for more than 2,200 MT, company is providing discount that varies between INR 16,600-17,000/MT.
In contrast with eastern Coke market of India, western region Coke manufacturers are increasing their offers in view of good demand ahead.
A Coke manufacturer based at Kandla said, “We have sold the material at low price earlier and we expect the demand may pickup in some time”.
The Coke offers are noted from Gujarat at around INR 17,000/MT (25-80 mm and 12 Ash) and 18,500/MT (40-80 mm and 12-13% Ash).
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