The Petcoke market trend in India has remained unaltered from that prevailed the week last, with acute supply tightness in the key international markets and stable domestic prices.
IMPORT OFFERS REMAIN HIGH
There has been no respite in the sky-rocketing import offers on account of severe shortages in the key international markets. The latest import offers of Petcoke (9% Sulphur) from Saudi Arabia and the material (6.5% Sulphur) from USA were assessed significantly high at USD 83-84/MT CFR India respectively.
Besides, the material is also not available for immediate loading in the international markets.
A prominent buyer revealed to SteelMint that he expected to get delivery of his import consignment, booked this month, by Nov’16.
DOMESTIC PRODUCERS RETAIN EX-WORKS PRICES
The Indian producers have retained their ex-works prices as revised on 1Aug’16. It may be recalled that Reliance Industries Limited, the largest producer in the country, had hiked its ex-works price by INR 500/MT to INR6, 100/MT. Essar, the second largest producer in the country, also had hiked its ex-works price by the same amount to INR 6,090/MT.
Source: Market Participants
In the domestic market, strong demand has prevailed as shortage in international markets has turned many buyers in the country towards the home market.
Given the ongoing market scenario, it is likely that the domestic producers are going to further increase their ex-works prices in the near future.
PRODUCTION
Indian producers have raised their Petcoke productions in response to the tight supply situation in the international markets. In July’16, the production in the country was at 1,104 TMT, which was higher by around 3.6% over the production in Jun’16 at 1,065 TMT.
Source: Industry
IMPORTS
Meanwhile, imports, booked earlier, have continued to land at Indian ports. According to SteelMint Research, 1.7 MnT of the material had landed at various ports in the country during the 1-26Aug’16 period.
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