Indonesian and South African thermal coal prices dropped in India due to weak demand, while domestic coal prices rose on seasonal demand. Met coke import prices faced pressure from rising port stocks, leading to declines in domestic prices, compounded by steel price cuts. Imported pet coke prices hit a one-month low.
Indonesian thermal coal prices drop w-o-w: The Indonesian thermal coal portside market headed south this week amid subdued demand. Trading activities are expected to begin from the end of September due to ongoing weather disruptions and logistical issues at the portside, sources informed BigMint. Specifically, prices of 3400 GAR coal at the Navlakhi Port dropped by INR 100/tonne (t) to INR 5,000/t. At Kandla, the price of 4200 GAR coal fell by INR 100/t to INR 6,100/t ex-port. Additionally, prices of 5000 GAR at both Vizag and Kandla declined this week.
Portside South African thermal coal market remains muted: Portside prices of South African thermal coal in India decreased by INR 50-150/t w-o-w. RB2 (5500 GAR) and RB3 (4800 GAR) coal prices were assessed at INR 9,600/t and INR 7,600/t ex-Gangavaram, respectively. Market activity remains limited.
India’s domestic coal prices rise amid seasonal demand: Domestic coal prices in India have increased this week, with 4500 GCV coal rising by INR 300/t to INR 5,200/t ex-Bilaspur, while 5000 GCV coal was priced at INR 6,100/t. The price hike is attributed to seasonal monsoon effects, the absence of auctions in Korba, central India, and a noticeable increase in market demand.
Rising port stocks impact India’s met coke import prices: Imported met coke prices to India remain under pressure, with current offers at around $250/t FOB Indonesia and $240/t FOB China holding steady w-o-w. Increased met coke stocks at ports are contributing to the price pressure, as end-users are opting for procurement on a ‘stock and sale’ basis.
Indian domestic met coke prices decline amid falling import offers: India’s domestic met coke prices fell this week due to reduced demand and competitive import offers. Prices decreased by INR 600/t to INR 34,200/t exw-Jajpur and by INR 1,400/t to INR 31,300/t exw-Gandhidham. Contributing factors include increased met coke stocks at ports and Chinese mills seeking a seventh round of price cuts. Prices are expected to fall further by around INR 1,000/t in the next 10 days.
Imported pet coke prices in India hit 1-month low: Prices of imported pet coke (6.5% S) in the international market have dipped to a one-month low. Currently, prices remain range-bound to $106-107/t CFR on the west coast and $108-109/t CFR on the east coast of India. The downward trend is expected to continue due to reduced demand and ongoing monsoon rains.
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