India cement industry bosses expect to import more high-sulphur petcoke

J K Cement

19/02/2020 16:00

* Indian petcoke consumption fell in 2018, rose in 2019
    * Major refiners United States, Saudi Arabia could benefit

    By Sudarshan Varadhan
    BAMBOLIM, Goa, India, Feb 19 (Reuters) - India's cement
industry will import more petcoke in 2020 as it seeks to boost
production, company executives said on Wednesday, signalling
their enthusiasm for a fuel source banned in some states because
of its sulphur content.
    Petcoke, made from high-sulphur crude oil, has a higher
calorific value than coal, but it also contains more sulphur.
    Indian use of the fuel as an alternative to coal for the
cement industry rose marginally in 2019 after falling for the
first time in nearly a decade in 2018, government data showed.
    Speaking at the CoalTrans India conference, cement
executives said they expected further petcoke growth this year,
as the industry would expand output, but they did not give
figures.
    Sanjay Kumar, strategic sourcing director at LafargeHolcim
Energy Solutions, said he saw "higher imports of petcoke in
2020".
    Yagyesh Gupta, chief procurement officer at JK Cement also
said imports of petcoke could increase, in line with the growth
of the cement industry.
    Both executives said import levels could also be affected by
the availability of coal, which can be disrupted by lack of rail
wagons and inconsistent quality.
    Depending on how competitive pricing is, the cement industry
could import coal from Australia and parts of Europe, including
Russia, Kumar said, while South Africa, which has traditionally
exported to India, has begun sending more shipments to other
southeast Asian regions such as Pakistan.
    Major refining countries, such as the United States and
Saudi Arabia, will benefit from any increase in buying from
India, which relies on imports for nearly half its of its
petcoke use.  

 (Reporting by Sudarshan Varadhan; editing by Barbara Lewis)
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