Indonesian coal prices soften on weak Chinese demand
Friday, 10 February 2012 09:40 | 
Indonesian coal prices soften on weak Chinese demand
Alongside a stronger rupee, a lower-than-anticipated demand from China seems to have softened coal prices in Indonesia during the past two weeks.
According to a prominent Kolkata-based trader, who did not want to be quoted, the global market for coal was expecting a strong demand from China soon after it entered the Dragon year (Chinese New Year of 2012) on January 23.
“Contrary to expectation, Chinese demand remained soft during the last two weeks,” he said.
The impact is reportedly evident on the coal market. As against the December price of nearly $45 a tonne (f.o.b.) for GCV 5300 kilocalorie a kg, Indonesian coal prices are now ruling at $42-43 a tonne.
Prices could have been softer, except supply disruptions in the archipelago due to heavy rains and the resulting logistics issues. The rise in crude prices may also have a role to play.
According to Mr Abhay Chaturvedi, Vice-President of Nagpur-based Gupta Coal (India) Ltd, in addition to supply-side constraints, strong Indian demand is providing due support to prices. “There is no sign of any slowdown in demand from India,” he said.
- Articles In This Category
- Category ArticlesInternation NewsMongolian coal mine expected reserves above 7 billion tonne Mongolia's massive Tavan Tolgoi coal deposit could hold as much as 7.5 billion tonnes of resources, up nearly 15% from the current...Internation NewsThermal coal may reach $130/T by year end: Indonesia Association Thermal coal may reach $130 a tonne at the end of this year after Australia slashed export forecasts, although slowing demand from...Internation NewsRussian coking coal proucer raises concentrate price Raspadskaya Coal Company (Raspadskaya), the second largest coking coal producer in Russia, has announced the completion of negotiations with...Internation NewsEuropean coal consumption up Europe's consumption of coal rose last year - the first increase in 20 years - according to official statistics released today. The most recent figures for 2010...Internation NewsUS coal production falls 0.9% on year in week ended Saturday: EIA US coal production totaled about 20.5 million short tons in the week that ended Saturday, the Energy Information Administration said...
- Related Articles
- Related ArticlesPolicy NewsThe government today asked companies having captive coal mines to provide by month end the latest details of coal use, including reasons for delay in developing allocated reserves. The latest...Internation NewsIn a significant move to consolidate its position in the Asia Pacific region, leading financial partner of choice First Gulf Bank (FGB) announced that its International Business Division has...Latest NewsThe Adani Group, owner of India’s biggest coal importer, said it would continue to invest in Indonesia even after the Southeast Asian nation imposes rules requiring foreign mining companies to...Internation NewsCompetition needs to be ushered into the domestic coal sector as state owned Coal India’s “near monopolistic” position impedes the sector’s growth. “Coal India Limited (CIL) dominates...Project NewsMOIL, India’s largest manganese ore producer, is planning a foray into the power sector as it searches diversification and growth opportunities and battles flat revenues from its core operations....
- Latest Articles
- Latest Articlespage1Training Workshop Operation & Maintenance of Solar Power Projects |India 2012 29th June, 2012, The Metropole Hotel, New Delhi Home...page1Training Workshop Operation & Maintenance of Solar Power Projects |India 2012 29th June, 2012, The Metropole Hotel, Ahmedabad Home...page1Training Workshop Operation & Maintenance of Solar Power Projects |India 2012 29th June, 2012, The Metropole Hotel, Ahmedabad Home...International News SolarThe 550-megawatt photovoltaic solar power project will employ approximately 400 workers during its three-year construction period. MidAmerican Solar and First Solar, Inc. marked the start of major...Latest NewsEnergy companies operating in Mozambique, which reported one of the world's biggest natural gas discoveries in recent years, are eyeing the vast Indian market and have started discussions with state...
