India: March 2015 Coal Import crosses 20 MnT

Total monthly Coal import to India crossed 20 MnT, registering an increase after 2 months. Import in Mar’15 rose by 12.5% as compared to last month.

India, one of the major destination markets for dry fuel imports across the globe, imported 20.6 MnT Coal in Mar’15. Country’s demand for Coal has gained strength over the past few years and it is expected to become the world’s largest thermal coal import destination in coming years. Meanwhile country’s giant producer, CIL, has failed to keep balance between demand growth and supply of coal.

As per SteelMint’s data analysis, out of the total import, the country imported 16.4 MnT Non-coking coal (up by 13.8%), 4 MnT Coking coal (up by 11%) and about 0.16 MnT Coke & Anthracite in Mar’15.About 0.42 MnT was Pet Coke; majorly supplied by USA, Saudi Arabia & China.

Top Exporting Countries

Indonesia, Australia & South Africa were the major Coal suppliers in the end of month. Indonesia remains the top exporter of Non-coking coal and supplied about 10.9 MnT; increased by 5.8% against Feb’15. Australia and South Africa supplied about 4.3 MnT and 2.5 MnT Coal respectively. In Mar’15, India imported about 0.11 MnT Met coke from different countries.

Major Discharging Ports & Importers

About 70% of Coal was imported at key ports of the country. Among the major Indian ports, Mundra imported the maximum quantity of about 3.3 MnT, followed by Krishnapatnam & Paradip Ports where1.9 MnT & 1.4 MnT respectively was imported.

In India, companies like Adani Enterprises, Adani Power, SAIL, JSW Steel, Agarwal Coal, Coastal Guajrat Power etc. import huge quantities and play the most decisive role in Coal imports; these imported about 2.8 MnT, 1.9 MnT, 1.4 MnT, 1.2 MnT, 0.90 MnT and 0.82 MnT respectively in Mar’15.

The uncertainty over the international export market (continuous declining prices) and domestic block auction with allotments, in which many previous block holders have lost their mines, are eager to purchase from open market. Rise in demands concurred with block auctions pushed increase in imports.