India: Domestic petcoke prices surge sharply in Apr'26 amid supply tightness

• IOCL raised prices by up to INR 3,770/t across key refineries
  
  
• Nayara, BPCL, MRPL, CPCL also implemented sharp price hikes
  
  

IOCL leads sharp price increase

Indian Oil Corporation (IOC) revised petcoke prices as of 9 April 2026, marking the second hike this month. Prices rose to INR 17,660/t (road) and INR 17,460/t (rail) at Koyali, INR 18,920/t at Panipat, INR 16,980/t (road) and INR 16,780/t (rail) at Paradip, and INR 17,150/t (road) and INR 16,950/t (rail) at Haldia. The cumulative increase from early March stood at INR 3,770/t across refineries, reflecting strong upward momentum.

Other refiners follow upward trend

Nayara Energy increased prices to INR 18,670/t, up INR 2,630/t m-o-m, marking one of the highest levels in recent periods. BPCL raised Bina prices to INR 19,000/t and Kochi to INR 18,000/t, reflecting increases of INR 3,225/t and INR 4,236/t, respectively. MRPL revised prices higher by INR 2,610/t to INR 15,520/t (rake) and INR 16,950/t (road). CPCL also increased prices sharply by INR 2,650/t to INR 18,390/t, aligning closely with Nayara's revision trend.

Supply constraints and geopolitical impact

The sharp rise in domestic prices was primarily driven by geopolitical tensions between the US and Iran, which increased marine insurance costs and freight due to vessel rerouting via the Strait of Hormuz. Although the situation began easing towards mid-April, earlier disruptions significantly tightened supply. Additionally, Nayara's planned shutdown of around five weeks further reduced market availability, supporting higher domestic price levels.

Price differentials and regional dynamics

IOC prices remained lower than Nayara across most locations, except Panipat where IOC was higher by INR 250/t. The negative differential narrowed significantly compared to previous months, indicating stronger alignment across refiners. Regional factors such as higher road freight and local demand-supply conditions influenced pricing variations, particularly at Paradip where discounts persisted.

Imported petcoke prices rise sharply m-o-m

Imported US-origin petcoke prices increased sharply m-o-m, with CNF Vizag levels rising from around $127/t in February to $158/t in March. The steep increase was driven by tightening global supply, rising freight costs, and geopolitical tensions in the Middle East. The surge in landed costs widened the price gap with thermal coal, making petcoke less attractive for price-sensitive buyers, particularly in the cement sector, which increasingly shifted towards cheaper fuel alternatives.

Market trend and outlook

Domestic petcoke prices witnessed a strong upward trend during April, supported by tight availability, refinery shutdowns, and elevated global prices. However, with easing geopolitical tensions and potential normalisation in freight and insurance costs, market participants expected price momentum to stabilise. Competition from alternative fuels such as thermal coal and cautious buyer participation may limit further upside in the near term.