Indian met coke prices fall w-o-w on subdued trade

Indian met coke prices have been recorded at INR 37,000/t ex-Jajpur this week. Prices dropped amid reduced buying interest and low trading activities. With challenges in securing purchases at prevailing rates, end-users are adopting a cautious wait-and-watch approach, reflecting the cautious sentiment prevalent in the market.

India's met coke imports in October 2023 surged by 59% m-o-m at 0.31 million tonnes (mnt), as against 0.19 mnt in September 2023.

Coking coal offers

Australian premium hard coking coal (PHCC) prices dropped by 15% w-o-w and are currently assessed at $298/t on 10 November 2023. Prices dropped amid increased spot availability and lower trade levels. Some of the end-users are decreasing prime coal ratios in blending, contributing to downward pressure on PHCC prices. Amidst continued offer reductions, market participants remained cautious, opting to observe without hastening trades, uncertain about when prices will stabilise in the near-term.

Imported coke prices

Chinese met coke prices were assessed at $365/t CNF India, remained majorly stable w-o-w. In the Chinese met coke market, market participants continued to discuss the possibility of a round of price uptick. Met coke inventory among the merchant cookeries and steel mills is not high amid the changing buying preference, hence with market turning optimistic as exhibited by the stronger futures market, a round of price uptick is expected to be seen. The seaborne duty free met coke is heard at around $380-390/t, CNF India for December loading cargoes.

Pig iron market

Indian pig iron prices were recorded at INR 37,200/t ex-Durgapur on 10 November, up by INR 200/t d-o-d. Prices have dropped by INR 100/t w-o-w.

Outlook

Indian met coke prices are anticipated to drop due to reduced trading at current levels. However, an anticipated increase in Chinese domestic met coke prices may inhibit price drop.