Thermal coal stocks across 21 Indian ports dropped by 3% w-o-w on 30 January, 2024, according to data from BigMint. During week 4 of 2024, thermal coal stocks at Indian ports stood at 14.11 million tonnes (mnt), compared to 14.62 mnt in week 3, reflecting a decrease of 3% w-o-w.
Thermal coal stocks at 21 Indian ports decreased by 6% w-o-w. This decline is attributed to tepid demand from India due to an increase in domestic coal production. Additionally, a decrease in the demand for South African coal from India, driven by low purchasing from sponge producers, has resulted in a reduction of coal stocks at ports.
Rashmi group witnessed surge in coal stocks of nearly 47% at Dhamra port during week 4 of January 2024, reaching 0.28 mnt. Tata Steel experienced a drop of nearly 6% in coal stocks, reaching 0.26 mnt at Paradip port.
At Mundra, Adani stocks dropped by 7%, reaching 0.86 at Gangavaram, Ultratech Cements’ stocks plunged by 42% to 0.04 mnt during the reviewed week.
Dhamra port recorded a drop of 4% w-o-w, with coal stocks reaching 1.43 mnt, compared to 1.49 mnt last week. Coal stocks at Mundra port plunged by 10% totaling 1.05 mnt. Thermal coal stocks at key ports like Paradip (1.26 mnt) experienced a 7% drop w-o-w. At Tuticorin (1.53 mnt), stocks increased by 3% during the reviewed week.
Adani Enterprise reported total stocks of 3.18 mnt, down by 26% w-o-w. Adani reported total stocks at 0.92 mnt, plunged by 27% w-o-w. Tata International (up by 2%) and NTPL (up by 12%) had stocks of 0.66 mnt and 0.49 mnt, respectively.
Outlook
Coal stocks may decrease in the coming week as the South African thermal coal market is poised for a downturn in the near term. This downturn is primarily attributed to sluggish demand from sponge producers. Additionally, there is limited demand from Indian power plants for Indonesian coals due to sufficient stocks at ports.