Indian met coke prices pick up on higher trading activities

Indian met coke prices have been recorded at INR 38,000/t, up w-o-w. The prices did not see any change w-o-w on reduced trading activities in the market.

In talks with market participants, a eastern side-based producer has concluded for 30,000t at INR 38,000/t. Also, another east-based producer concluded deal for about 20,000t at INR 38,200/t.

Coking coal offers

Australian premium hard coking coal prices increased by $27/t w-o-w to $331/t FOB on 4 October amid low November loading cargoes due and higher trade levels. Prime coals are facing shortage in India, where demand continues to be higher. A deal was heard to have been concluded for Australian premium mid-vol Goonyella C for 11-20 Nov laycan 40kt at $360.25/t FOB yesterday. Bids also picked up to $340-356/t FOB Australia for Nov 11-20 loading cargoes. However, end-users are finding current price levels unaffordable, in turn, reducing their usage of prime-hard coking coal and relying on existing inventories to meet their needs. Moreover, supplies from Russia were heard getting tighter amid logistical bottlenecks, potentially resulting in price rise.

Imported coke prices

Chinese met coke prices are assessed at $365/t, CNF India. Effective prices of met coke in Hebei's Tangshan are assessed at RMB 2,260 ($309/t). Amid the safety checks, capacity utilization rate of top coal mining provinces have dropped . The regulations are expected to remain tight in the fourth quarter, which will diminish supplies. Market remains quiet currently due to Chinese National holidays and restocking activity came to a close.

Pig iron market

Indian pig iron prices were recorded at INR 40,000/t yesterday, down by INR 100 w-o-w. Prices have dropped by INR 500/t w-o-w.

Outlook

India met coke prices are anticipated to rise on back of rising demand and increase in coking coal prices. With rising trade activities and transactions, prices are being pushed upward. Supply constraints at China is also pushing the imported prices northward.