Thursday, 13 Oct 2011
BS citing experts and traders reported that coking coal imports into India dropped for the first time in last three months despite price fall in global markets as costlier dollar and an ailing steel industry demand squeezed import orders.
Data from Indian Ports Association showed that in April to September 2011 period, coking coal imports through Kolkata and Haldia was 2.83 million tonnes, down by 16% as compared with the same period in 2010. Imports at Visakhapatnam port dropped by 15.3% and at Paradip, the decline was 3.3% for the same period. These three eastern Indian ports account for almost 60% of India's coking coal import.
In April to September 2011 period, total imports declined by 0.4% YoY, after growing 2.3% in April to August 2011 period and 9.3% in April to July 2011 period.
Mr Arun Bhattoria, a Kolkata based coal trader, said that "Steel industry demand for coke has come down given the higher rates for iron ore. Some steel plants have raised steel prices while traders are importing steel, which gives better return than coking coal imports."
Mr Sandeep Jain, commodity analyst with Karvy Comtrade, said that "The main reason for coking coal import drop is the depreciation of rupee against the dollar. The rupee has weakened by almost 6% in the last month. Even though coking coal rates have gone down in dollar terms in global markets, Indian importers were unable to take the opportunity as dollar became costlier here."
Coking coal is currently priced at USD 280 per tonne, down from USD 310 a tonne in July to August 2011. The rates have come down as supply has improved from major exporter Australia after devastating flood there affected production in January.
(sourced from BS)
BS citing experts and traders reported that coking coal imports into India dropped for the first time in last three months despite price fall in global markets as costlier dollar and an ailing steel industry demand squeezed import orders.
Data from Indian Ports Association showed that in April to September 2011 period, coking coal imports through Kolkata and Haldia was 2.83 million tonnes, down by 16% as compared with the same period in 2010. Imports at Visakhapatnam port dropped by 15.3% and at Paradip, the decline was 3.3% for the same period. These three eastern Indian ports account for almost 60% of India's coking coal import.
In April to September 2011 period, total imports declined by 0.4% YoY, after growing 2.3% in April to August 2011 period and 9.3% in April to July 2011 period.
Mr Arun Bhattoria, a Kolkata based coal trader, said that "Steel industry demand for coke has come down given the higher rates for iron ore. Some steel plants have raised steel prices while traders are importing steel, which gives better return than coking coal imports."
Mr Sandeep Jain, commodity analyst with Karvy Comtrade, said that "The main reason for coking coal import drop is the depreciation of rupee against the dollar. The rupee has weakened by almost 6% in the last month. Even though coking coal rates have gone down in dollar terms in global markets, Indian importers were unable to take the opportunity as dollar became costlier here."
Coking coal is currently priced at USD 280 per tonne, down from USD 310 a tonne in July to August 2011. The rates have come down as supply has improved from major exporter Australia after devastating flood there affected production in January.
(sourced from BS)
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