India: Met coke prices stay range-bound on improving trades, limited import bookings

• 65,000 t of coke deals concluded
  
  
• No offers from China, Indonesia
  
  

India's domestic met coke prices remained rangebound this week. As per BigMint's assessment, the 25-90 mm blast furnace (BF) grade coke prices stood at INR 33,500/t exw-Jajpur, while Gandhidham's prices were recorded at INR 31,500/t exw.

An eastern India-based met coke producer reported that approximately 40,000 t of BF-grade met coke were recently traded at INR 32,000-33,000/t ex-works Jajpur. Market sentiment remains positive, driven by declining imported met coke stocks at Indian ports and limited fresh bookings due to QR.

Another deal of 25,000t BF route was reported at INR 34,000/t exw Jajpur by an eastern India based player.

Sources noted that while market sentiment remains positive, driven by expectations from the Union Budget and a lack of new met coke import bookings, it remains to be seen whether the high offer levels of INR 34,000-35,000/t ex-works will find acceptance in the market.

Market drivers

Limited met coke import bookings - A market participant commented, "Currently, only Polish met coke is viable, with 62/63 CSR from Poland priced at $300 FOB. Colombian coke is around $350 CFR (including duty), with freight costs at $70/t. Meanwhile, Japan and Australia have no allocations, and imports from China and Indonesia remain restricted due to QR (quantitative restrictions), despite their lower CFR prices".

Australian coking coal prices inch down - Australian coking coal prices inched down w-o-w. PHCC was assessed at $186/t FOB Australia, down marginally by $2 against last week. Thin liquidity amidst Chinese holidays kept prices under pressure.

Indian pig iron prices recover w-o-w - Steel grade pig iron prices in Durgapur, India, recovered by INR 300/t w-o-w to INR 33,300/t exw on improved trades and price support from steel.