Reliance Industries Limited (RIL), the country’s largest pet coke producer having approximately 40% share, has decreased its price to INR 9,200/MT, with effect from 25 Aug’18. It is INR 750 lower as compared to its previous price.
Notably, it is the first downward price revision by RIL in the past 9 months.
Source: CoalMint Research
However, Mangalore Refinery & Petrochemicals Ltd. (MRPL) has not yet lowered its pet coke price, which remains at INR 8,750/MT.
Meanwhile, import offers for pet coke have remained sharply high over the past few weeks as the global market has sustained robust demand; hence, there has been no significant change in the pet coke export offers from the key overseas markets — USA and Saudi Arabia.
However in India, restocking activities for pet coke have dropped in recent weeks due to the onset of monsoon season.
Moreover, buyers are currently not in a hurry to procure any fresh cargoes as they expect pet coke prices to soften going forward.
Furthermore, import demand for pet coke is slowing due to higher landed prices as a result of high dry bulk freight rates.
PRICE ASSESSMENTS
The latest offers for pet coke (6.5% sulphur) from USA are assessed at around USD 125/MT CNF India, while offers for pet coke (9% sulphur) from Saudi Arabia are assessed at around USD 119/MT CNF India; both these offers have remained unchanged since last week.
N.B.:
i. The MRPL price is effective 1 Aug’18.
ii. These prices are exclusive of GST @18%.
iii. The MRPL price is for pet coke transported by rake/barge.
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