India: Domestic met coke prices remain stable w-o-w amid cautious market sentiments

• Leading mill closes 2 deals for Colombian coke
  
  
• Coking coal prices surge amid supply constraints
  
  

Domestic met coke prices remained steady w-o-w. As per BigMint's assessment, 25-90 mm blast furnace (BF) grade coke prices stood at INR 34,300/tonne (t) exw-Jajpur, while Gandhidham's tags were recorded at INR 32,300/t exw. The market has adopted a cautious stance, owing to a steep hike in coking coal prices globally.

Factors behind price stability

Some imported material booked from Colombia: A leading Indian steel mill recently closed two deals for Colombian coke - for 35,000 t at $265/t CFR about two weeks ago, and another 30,000 t earlier this week, likely at around $263 CFR - though exact details are still awaited. Both cargoes are scheduled for end-June arrival.

Coke price rise faces pushback from struggling Chinese mills: Chinese steelmakers have resisted the first coke price hike attempt, citing shrinking margins due to falling steel prices and weak demand. Coke producers proposed an RMB 50-55/t increase from 9 April amid rising coal costs, but mills remained cautious, as futures slumped and construction demand lagged. Global tariff concerns further dampened sentiment, discouraging aggressive raw material buying.

Australian coking coal prices rise on supply concerns: Australian premium hard coking coal (PHCC) was assessed at $177/t FOB, up by $8/t w-o-w. Prices firmed up amid supply concerns following accidents at Australia's two leading mines - Moranbah North and Appin - last week.

Indian pig iron tags fall w-o-w: Steel-grade pig iron prices in Durgapur, India, fell by INR 750/t w-o-w to INR 35,500/t exw.

Outlook

The market is likely to remain stable next week. Additionally, some domestic met coke suppliers in eastern India have reportedly ramped up output in the absence of imports.