India’s overall thermal coal stock rose a modest 12% m-o-m to 13.6 million tonnes (mnt) during week 17 (17-21 April, 2022) compared to week 13 (20-24 March, 2022), as per CoalMint’s data.
The inventory rose on the back of the increase in arrival of vessels stocked with imported coal in the last few weeks at a time when domestic supplies have remained under pressure.
Despite elevated global prices, the volume of thermal coal that arrived amounted to 12 mnt during 1-30 April, 2022, CoalMint’s vessel line-up data reveals.
Owing to the sharp rise in the country’s power demand, as summer temperatures soar, Coal India and its subsidiaries have been redirecting their supplies to the power sector, leaving the non-power sector little option but to rely on imported coal.
As per CoalMint data, inventory at Mundra Port was the highest, rising by 26% m-o-m to 1.9 mnt during the period, followed by Navlakhi and Vizag ports, at 1.6 mnt each.
The majority of the stocks at Mundra Port were for Adani Enterprise (0.9 mnt) and Adani Power (0.8 mnt), while at Navlakhi Port, they were for Adani Enterprise (0.7 mnt) and Agarwal Coal (0.4 mnt), among others.
Port-wise inventory
Thermal coal inventory of Krishnapatnam Port, however, recorded a 31% m-o-m decline to 798,218 t during week 17 as end-users in the southern region of the country relied more on imported coal amid unavialability of the domestic variety.
Inventory of end-users
As per CoalMint’s data, thermal coal stock of several end-users also rose with inventory of Tata Steel up 19% m-o-m, followed by JSW Steel.
Short-term outlook
Amid the sharp rise in power demand in the country and constrained coal supply situation at major exporting destinations, thermal coal stock at key ports may come under pressure in the upcoming week.
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