Coal traffic (coking and non-coking combined) handled at Indian ports fell for the third-straight month by 10% m-o-m to 26 million tonnes (mnt) in September, 2022 CoalMint data shows.
Port traffic refers to the shipments via imports, exports, and coastal movement between different ports within India. India’s total coal imports fell by 8% m-o-m in September with a major decline being registered in thermal coal.
Thermal coal traffic handled at ports recorded a 13% drop to 20 mnt mainly due to elevated global prices, the slowdown in procurement by the manufacturing sector amid heavy rains. Meanwhile, coking coal traffic remained largely unchanged at 6 mnt amid subdued steel demand in the country.
Qty in mnt
Key ports of thermal coal traffic
As per CoalMint data, the highest decline in thermal coal traffic was seen at Krishnapatnam and Paradip ports by 27% and 12%, respectively with the drop in vessel arrivals. However, there was a sharp rise in coal traffic seen at Haldia Port.
Key ports of coking coal traffic
While Paradip handled maximum vessels of coking coal, traffic at Dhamra Port declined the most m-o-m to 1 mnt. Vizag Port received around 253,226 t of coking coal.
Port traffic during Jan-Sep’22 up
Qty in mnt
The coal traffic at Indian ports rose by 20% y-o-y during January-September, 2022 with maximum rise in thermal coal. The country experienced more-than-expected hot summers this year making the Indian government allow increased usage of imported coal to meet the requirements of power plants.
This rise came despite the spike in thermal coal prices — triggered by the Russia-Ukraine conflict. India’s power consumption during the summer months of April-June, 2022 this year rose by 17% y-o-y and stood at 400.4 billion units.
Outlook
India’s coal traffic is likely to remain in a tight range in the month of October amid weak port operations due to festivities but may rise November onwards. Elevated global prices, and weak steel demand are other factors limiting any major rise in coal traffic.
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