Indian met coke prices remain stable w-o-w
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Indian met coke prices have been recorded at INR 32,500/tonne (t) ex-Jajpur this week. Prices remained stable w-o-w. Imported met coke prices are at a lower level as against domestic material availability.
Though prices remained stable, it is heard that the west-based users are facing shortage of material majorly due to production cut at many cokeries.
Indian met coke imports have been recorded at 0.22 mnt in March as against 0.33 mnt in February, as per data maintained with BigMint.
Coking coal prices
Australian premium hard coking coal prices remained stable amid tepid demand from major importing nations. Prices are currently assessed at $224/t. Indian steelmakers, having ample inventory, showed limited urgency in purchasing, with plentiful spot cargoes available. Some mills opted for met coke through competitive tenders post-China price cuts. This preference allowed mills to maintain contract resales and coke purchases, dampening support for the coking coal market.
Imported coke prices
Chinese met coke prices are assessed at $299/t CNF India, for 65% CSR coke. China's met coke producers have accepted the eighth round of price cut on 10 April, 2024. Met coke prices in Hebei's Tangshan were assessed at RMB 1,660/t ($230/t), a decrease of RMB 100/t ($14/t) d-o-d. Despite production constraints, inquiries from southern mills persisted, with some favouring cost-effective Australian seaborne coke over domestic options.
China's metallurgical coal supply is anticipated to be lower in April compared to March due to maintenance activities at a key railway network operator and heightened safety inspections in the coal mining sector. Despite this, there was an expected increase in met coal demand in April compared to March in China.
Pig iron market
Indian pig iron prices rose by INR 300/t w-o-w and were assessed at INR 39,800/t DAP Durgapur on 13 April 2024. However, prices dropped by INR 50/t w-o-w in the Raipur market and are currently assessed at INR 39,450/t DAP- Raipur.
Outlook
Met coke prices in few market is facing pressure on lower coking coal prices. Also, the end users have sidelined on expectation of further price drop. Few markets are heard to have been facing shortage which may create a push to the prices.