Indian suppliers of metallurgical coke have failed to keep prices from declining. Specifically, the availability of lower-priced import offers from China, coupled with prevailing bearish sentiments in the global coking coal market have recently forced Indian suppliers of met coke to decrease their offers to obtain orders. Nevertheless, customers have continued to exert further pressure, voicing more aggressive lower bids.
Accordingly, while the latest deals for met coke in India were reportedly done at INR 54,000-55,000/mt ($712-725/mt) ex-works, down INR7,000-8,000/mt ($91-104/mt) since the beginning of April, customers have been seeking to get material at INR 49,000-50,000/mt ($646-659/mt) ex-works. Nevertheless, after the coking coal price trend reversal last week, it is not excluded that met coke prices in India will record a rebound in the current week.
Taking into account the latest export offers of met coke from China to India, which have increased by $35/mt since April to $640/mt FOB, met coke in the domestic market is more attractive.
Meanwhile, basic pig iron (BPI) offers in India have decreased likewise, to INR 56,000 ($738/mt) ex-works in the eastern regions, from INR 57,500/mt ($758/mt) ex-works at the end of last week.
$1 = INR 75.90