Indian ports to receive 0.62 mn t of South African thermal coal by 30 Sept’21

Vessel-line-up data (as on 11 Sept’21) maintained with CoalMint reveals that a total volume of 0.62 million tonnes (mn t) of thermal coal is set to arrive from South Africa at various Indian ports till 30 Sept’21.

Vessel arrival from South Africa remains largely stable on a m-o-m basis at 0.81 mn t compared to the same period in Aug’21. However, India’s imports from the country (South Africa) have been on a declining trajectory since Apr’21 owing to its sharply higher prices.

Current prices for the most imported RB2 (5,500 NAR) grade coal have risen to $154/tonne (t), up 123% against April’s price of $68.9/t, FOB basis.

Continuing last month’s trend, Adani Enterprise and Ultratech Cement remain the major buyers of South African coal with 0.16 mn t each.

Gangavaram and Krishnapatnam ports are set to receive the highest quantity of South African coal with 0.17 mn t and 0.16 mn t, respectively.

Kandla Port to receive highest volume

The highest quantity of 0.67 mn t of thermal coal is arriving at Kandla Port with the maximum volume coming from Indonesia, South Africa, and U.S.

Hazira Port is the second-highest receiver with 0.51 mn t coming from Indonesia, Russia, and South Africa.

Thermal coal vessels carrying 0.34 mn t are coming from South Africa, Australia, and the US and 0.19 mn t from China and Indonesia to Krishnapatnam and Ennore ports. Mangalore Port is set to receive 0.06 mn t of South African coal in the coming week, CoalMint’s vessel line-up reveals.

Amid domestic coal shortage, Indian buyers are heard to have bought comparatively cheaper coal that has been rejected and disapproved by China due to the issue of trace elements.

India to receive 1.64 mn t of Indonesian coal

Out of the total coal to arrive at Indian ports, Indonesian coal vessels remain the highest at 1.64 mn t despite its high prices. Amid the domestic coal shortage in the country, several importers were heard to be procuring low-CV Indonesian coal at a premium of $6-7/t.

Adani Enterprise and Agarwal Coal are the top buyers of Indonesian coal with 0.27 mn t and 0.26 mn t, respectively. The vessels are arriving at Gangavaram, Dahej, and Kandla ports.

A total quantity of 3.33 mn t of thermal coal from different origins is set to arrive at various Indian ports by 30 Sept’21.

Top receivers of thermal coal

Outlook

Amid elevated thermal coal prices across various origins, India’s thermal coal vessel arrivals are also likely to remain under pressure in the coming weeks.