Indian state-owned steelmaker Rashtriya Ispat Nigam Limited (RINL), the flagship company of Visakhapatnam Steel Plant (VSP), will ask for a reduction in the current coking coal prices to the previous year's levels for the forthcoming coal price negotiations.
Accordingly, RINL is seeking a price cut of more than 67 percent for its hard coking deliveries, from the ruling contract price of $300/mt FOB for 2008-2009 to the 2007-2008 level of $96-$98/mt FOB, with a similar reduction being sought in soft coking coal prices as well.
This move is foreseen to be followed by India's leading steel manufacturer Steel Authority of India Ltd. (SAIL), against the background of the current global financial crisis.