Russian Coal Imports Decline in CY16

Coal imports in Russia decline by 13% in CY16 to 20.37 MnT. However, monthly imports have increased marginally.

Russia one of the major coal exporters, imports a decent amount of coal accounting 20.37 MnT in CY16.

Coal imports have fallen by 13% Y-o-Y compared with 23.38 MnT in CY15. However, Monthly imports have improved by 2% M-o-M, as imports increased from 1.78 MnT in Nov’16 to 1.83 MnT in Dec’16.

The decline in coal imports has resulted from Russian government decision to promote domestic coal within the program of industrial development until 2030.

Source: Russian Customs

Grade-wise Imports in 2016:
Russia majorly imports other grades of bituminous coal followed by small quantities of Anthracite, Coking coal, Pet Coke and met Coke.

It is to be noted that imports of all grades of coal have fallen over the year.

Source: Russian Customs
Quantities in MnT

Major Exporting Countries in 2016:
Kazakhstan is the major coal exporter to Russia, which caters more than 90% of coal supply in CY16. Kazakhstan supplied 18.76 MnT coal to Russia down by 12% Y-o-Y compared with 21.41 Mnt in CY15.

A large amount of coal exports from Kazakhstan has been supported by the fact that Kazakhstan is nearby to Russia plus cheap coal prices which attract Russian coal buyers. With the reduction in coal exports to Russia in CY16, Kazakh coal producers are now interested in entering new markets in Europe and Asia.

Other Countries such as Ukraine, Azerbaijan, China and Belarus cover the remaining coal exports to Russia.

Coal Import Destination in Russia:
Sverdlovsk region received a major portion of the coal imports in CY16. About 12.46 MnT coal was received in this region with a yearly growth of 37% compared with 9.09 MnT in CY15.

About 12% of Russia’s iron and steel industry is concentrated in Sverdlovsk region; hence it received major coal shipments in CY16.

Source: Russian Customs