- India’s domestic coal prices drop w-o-w despite soft demand
- Indonesian thermal coal tags at Indian ports hold firm w-o-w
Portside South African coal prices held steady w-o-w, driven by lower imports and declining inventories. Sponge iron prices rose too, hinting at potential downstream demand recovery, possibly supporting prices ahead. However, domestic coal prices weakened due to ample supply and lower bids at the latest auction from South Eastern Coalfields Ltd (SECL). Export offers from South Africa also declined, indicating a bearish global sentiment. However, supply tightness could support imported coal prices.
Indonesian coal prices at Indian ports steady even as demand stays weak
Indonesian thermal coal prices at Indian ports remained largely stable w-o-w despite subdued demand. However, prices were supported by a lack of import shipments. At Kandla, 5000 GAR coal was steady at INR 7,800/tonne (t), while 3400 GAR at Navlakhi held at INR 4,950/t. However, 4200 GAR rose INR 150/t to INR 6,050/t at Kandla and INR 100/t to INR 5,900/t at Vizag. As of 19 March, Indian power plants held 55.85 mnt coal (19 days’ stock). Indonesia cut its HBA index for late March, with high-CV coal down 8.2% to $117.76/t and mid-CV to $80.7/t amid a slump in the seaborne market.
India’s portside South African coal prices firm w-o-w on cargo shortages; RB2 up INR 50/t
Portside South African coal prices in India remained stable w-o-w, supported by sponge iron tags and lower import shipments. RB2 (5500 NAR) rose by INR 50/t to INR 8,450/t exw-Gangavaram, while RB3 (4800 NAR) held steady at INR 7,100/t exw. Thermal coal stocks at Indian ports dropped 2% w-o-w to 11.83 mnt in week 11 of CY’25. Export offers from South Africa fell, with RB2 down $1.5/t to $76/t FOB and RB3 at $58.5/t FOB. Domestic coal prices fell w-o-w with 4500 GCV at INR 4,500/t and 5000 GCV at INR 5,100/t exw-Bilaspur. Sponge iron prices rose INR 1,000/t w-o-w to INR 27,400/t exw-Rourkela. Supply tightness may support coal prices ahead.
India’s domestic coal prices drop w-o-w as SECL auction bids weaken; ample supply pressures market
Domestic coal prices in India fell w-o-w due to sufficient supply and lower auction bids. The 4,500 GCV grade coal dropped by INR 100/t to INR 4,500/t exw-Bilaspur, while 5,000 GCV coal declined by INR 250/t to INR 5,100/t exw-Bilaspur. The price drop followed SECL’s latest auction, where bid prices fell, reflecting subdued buyer interest. Adequate coal availability further pressured market sentiment, limiting support for price stability. Market participants expect prices to remain under pressure unless there is a significant uptick in demand or a cut in coal supply volumes during the upcoming auctions.
Indonesia reduces HBA thermal coal prices for second half of March; high-CV index down 8.2%
Indonesia’s Ministry of Energy and Mineral Resources (ESDM) cut thermal coal reference prices (HBA) for all grades for the second half of March 2025. The high-CV 6,322 kcal/kg GAR HBA was reduced by 8.2% to $117.76/t from $128.24/t earlier, with the cut breaking a four-month rising trend. Mid-CV 5,300 kcal/kg GAR HBA-I dropped 2.4% to $80.7/t, while low-CV HBA-II and HBA-III prices fell 2.5% and 1.3% to $49.44/t and $33.71/t, respectively. HBA-II hit a record low since March 2023. The reductions are in response to global price weakness. The ESDM now releases HBA prices twice monthly, with the calculation for the second half of the month according 70% weightage to the second to third week of the previous month’s trade data.
India’s domestic met coke prices stable w-o-w; limited trade, import volumes keep offers firm
Domestic met coke prices in India held steady w-o-w amid slow trade activity. BigMint assessed blast furnace grade (25-90 mm) coke at INR 34,500/t exw-Jajpur and INR 32,300/t exw-Gandhidham. Despite sluggish buying due to the fiscal year-end, producers maintained firm offers in the absence of imports. In the global market, Australian premium hard coking coal fell by $10/t w-o-w to $169/t FOB, pressuring costs. Meanwhile, steel-grade pig iron prices in Durgapur rose marginally by INR 200/t to INR 36,000/t, supported by a proposed 12% safeguard duty on flat steel imports. Market participants expect met coke prices to stay range-bound until the fiscal year closes.
India’s imported pet coke prices fall $2-3/t w-o-w; Saudi, US offers decline on weak demand
Imported pet coke prices in India decreased by $2-3/t w-o-w. On 21 March, prices stood at $119-121/t CFR on the west coast and $120-122/t CFR on the east coast. Saudi-origin offers fell due to reduced demand from China, while US-origin offers also softened. The decline was driven by subdued buying interest, lower supplier offers, and limited trade activity. Market participants expect further price drops if weak demand persists.
India’s coal freights rise w-o-w on tight vessel supply; Baltic Panamax Index jumps 370 points
Coal freights to India rose w-o-w due to higher coal imports amid falling thermal coal stocks and tighter vessel supply. Thermal coal inventories at Indian ports declined by 2% w-o-w to 11.83 mnt in week 11 of CY’25 from 12.08 mnt. Freights from Australia to Paradip rose $1.5/t to $15/dmt, with SAIL booking a Panamax vessel at $16.45/t for April. South Africa-Paradip freights increased $1/t to $13.4/t, while Indonesia-Paradip ones rose $0.7/t to $13.9/t. The Baltic Panamax Index surged 370 points w-o-w to 1,365 on 17 March, while the Baltic Dry Index rose 269 points to 1,669, reflecting stronger vessel demand in bulk shipping markets.
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