Coal news and updates

Drop in China met coke prices may pose trouble for desi coke-makers

March 20: The Indian merchant coke manufacturers may face increased competition from imports due to a sharp drop in Chinese met coke export prices, a trading source told ICMW.

"China has drastically brought down its met coke prices in the past few days and if the trend continues, there will be pressure on domestic coke oven plants," the source said.

In the last two-three years, he said, imported coke prices were high compared to domestic sources. However, with international prices coming down, the situation has changed in recent months.

He, however, added that the recent decline in coking coal prices would somewhat balance the situation.

As of March 19, domestic low ash met coke prices were quoted at around Rs 18,000-20,000 ex-plant (about $290-320/ton) in the eastern region, while the prices of imported met coke, including that of Chinese origin, were hovering at around $235-$250/ton CFR.

Customs data shows that India was the largest importer of Chinese coke in 2013 at 1.68 million tons (mt).