According to the vessel line-up data compiled by CoalMint research, coal export shipments from South Africa’s premium terminal, Richards Bay (RBCT), has decreased 17% on the month to 6.15 MnT in Apr’19 compared with 7.39 MnT in Mar’19.
Export volumes were also 2% lower on the year from 6.31 MnT in Apr’18.
Resurgent demand coming from elevated industrial activities during general elections, had witnessed robust coal buying from India. In fact, the higher intake by the country had significantly offset RBCT’s lower shipments recorded to Pakistan and South Korea.
However, Indian coal import from RBCT during Apr’19 had come down 8% on the month to 4.33 MnT, but was still 34% higher on the year from 3.23 MnT in Apr’18.
Coal deliveries from RBCT to Pakistan had fell 10% M-o-M to 0.58 MnT in Apr’19, which was also 28% lower on the year from 0.8 MnT in Apr’18.
Supplies to South Korea decreased 28% M-o-M to 0.29 MnT, also falling 54% Y-o-Y in Apr’19.
It is pertinent to note that both Pakistan and South Korea have witnessed continual fall in coal sourcing from RBCT since the beginning of CY19.
During the first 4 months of CY19 (Jan’19-Apr’19) , RBCT’s export shipments have totaled 25.13 MnT, down 9% Y-o-Y from 27.62 MnT recorded in corresponding period of last year.
Rise in South African Coal Price:
South African coal prices have been increasing recently. Coal index API-4 was assessed at USD 72 as on 10 May’19, up 4% from the end of last month and highest since 21 Mar’19.
Lack of investment in new coal project has kept domestic coal prices relatively high. It is likely that with a slowdown in Indian demand prior to the monsoon season, more coal would be directed for the domestic market.
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