The global pellet premium rose to use ass/MT, CFR China, a lump of 10% W-O-W is being connected to the momentum In the Indian Export deals completed recently.
India pellet have always been preferred by Chinese millers. The demand lei higher grade material due to an Increased coking coal prices have been pushing the alternative material requirement in China recently.
Coking coal prices have increased further this week by USD 5/MT and are assessed at USD 208.5/MT FOB Australia for Premium HCC.
It is believed that to curb the pollution a considerable cut lit the use at Sinter, along with minimized teed of low grade are IS noticed in china and made a way for the transition to high grade lump and pellets by Chinese steel mills According to the sources report to SteelMint an East India based pellet manufacturer have concluded an export deal at USD 115/MT, CFR China.
Another manufacturer from South India is also heard to have floated a tender for the quantity at 50,000 MT and ls In the process ol finalizing a deal for September shipment between USD 114-115/MT, CFR China.
A week ago, JSPL had concluded a deal with USD 11.5/MT, CFR China and is also in agreement that the current prices are trending at quite higher levels with good number ol inquiries at hand.
Indian pellet experts have grown by 88% Y-O-Y for FY18 till Jul with 2.3 MnT pellets against 1.22 MnT exports for the same period last year The exports were up 70% roi lne month or Jul With the quantity oi U 66 MnT compared to the quantity of U 39 MnT in Jul‘ l6.
There was an increase of 10% M-o-M in Jul exports compared the pellet experts in Jun’l7 at 0,60 MnT.
As per the SteelMint analysis numbers (or me current month‘ the pellet exports are expected (a tie up by at least 25-30% M-o-M.
Source Steel Mint powered by Keyvan Jafari Tehrani
