South African monthly coal export rise by 4% in May’16 compared with Jun’16, besides yearly exports fell by 5.7% (during Jan-May’16).
South Africa, one of the largest thermal coal exporters in the globe shipped about 6.68 MnT of coal to the different destinations in May’16. The monthly coal export surged by 4% compared to Apr’16 and also recorded a down by 3% compared to May’15.
Coal export in May’16
South Africa basically exports more than 90% of thermal coal, which is largely exported to India.
| Grade | Quantity |
| Anthracite | 0.1 |
| Bituminous Coal | 6.5 |
| Other Coal | 0.0 |
| Coke | 0.0 |
| Pet Coke | 0.0 |
| Total | 6.6 |
Source: South Africa Customs
Quantity in MnT
South African coal shipments reduced this year on the wake of constantly rising FoB offers of the South African thermal coal, which have been reported at higher side since a long time. Current offers for 6000 NAR thermal coal are assessed at USD 58-59/MT, FoB for Jul’16 and Aug’16 shipments.
Source: South Africa Customs
Quantity in MnT
Strong Richards Bay FoB spot offers since the beginning of the year have deterring global buying interest of South African thermal coal. While, shipments from the country decreased by 5.7% to 30.72 MnT this year during Jan-May’16.
On the other side, large market for South African coal such as India, Europe and Turkey are taking competitive advantage from the other origins, which provides comparatively low priced coal along with low freight rates.
| Grade | Jan16 | Feb16 | Mar16 | Apr16 | May16 |
| Anthracite | 0.02 | 0.05 | 0.19 | 0.06 | 0.08 |
| Bitu Coal | 6.16 | 4.82 | 6.38 | 6.17 | 6.49 |
| Other Coal | 0.06 | 0.01 | 0.01 | 0.14 | 0.03 |
| Coke | 0.00 | 0.00 | 0.01 | 0.00 | 0.00 |
| Pet Coke | 0.00 | 0.01 | 0.01 | 0.00 | 0.01 |
| Grand Total | 6.25 | 4.88 | 6.59 | 6.38 | 6.62 |
Source: South Africa Customs
Quantity in MnT
Country-wise coal export in May’16
India is one of the largest buyers of South African thermal coal as the country’s whole sponge industry is largely dependent on South African coal. India took (68%) about 4.5 MnT coal during the month, increased by 5% compared to last month. Besides Pakistan, UAE and Djibouti emerges as the largest destinations for South African coal in May’16.
At present, buying interest for thermal coal has been affected due to running monsoon in India.
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