India’s coking coal imports in January’24 fell by 5% to 4.77 mnt as against 4.99 mnt in December’23, as per BigMint data. However, imports surged by 4% y-o-y to 4.80 mnt in January’24 compared to 4.60 mnt in January’23. The drop in India’s coking coal imports can be attributed to reduced demand within the country and subdued buying interest.
Australia remains the leading coking coal supplier to India. India coking coal imports from Australia in January ’24 dropped by 22% m-o-m to 2.59 mnt, compared to 3.31 mnt in December ’23. This decline was anticipated due to port congestion caused by weather-related issues and concerns about potential disruptions in coal shipping due to the tropical cyclone Kirrily off the Australian coast. Due to the cyclonic disruption, no berthing is scheduled at ports Hay Point, Abbot Point, and DBCT. The northern Bowen Basin coal terminals of Abbot Point, Dalrymple Bay (DBCT), and Hay Point are most likely to be affected by the Cyclone. Deliveries to Hay Point and DBCT were cut, creating congestion at other ports.
PCI imports to India up by 12% in january’24
India’s PCI coal imports in january’24 increased by 12% m-o-m to 0.94 mnt, as against 0.85 mnt in December’23.
PCI imports from Russia surged by 94% to 0.8 mnt in January’23 as against 0.4 mnt in December’23. Russia emerged as the top supplier of pulverized coal injection (PCI) to India’s steel mills, displacing Australia as the key supply nation.
Country-wise imports
India imports from USA stood at 0.61 mnt in january’24 drop by 4% m-o-m as against 0.64 mnt in December’23. The Red Sea crisis, diverting US coking coal via the Cape of Good Hope and causing delays in Indian delivery.
India imports from Russia surged by 8% m-o-m to 0.51 mnt in January‘24 as against 0.47 in December’23.
Shipments from the Canada surged by more than twofold in January’24 to 0.41 mnt as against 0.16 mnt in December’23. Coking coal deliveries from Indonesia increased by more than twofold at 0.36 mnt as against 0.17 mnt in December’23.
Port-wise coking coal imports
Paradip port received the highest imported cargo volumes of 1.04 mnt in January’24, Gangavaram cargo import increase by 28% at 0.81 mnt. Haldia and Jaigarh ports received 0.70 mnt and 0.61 mnt, respectively. Mormugao port imports surged by 22% at 0.60 mnt.
Company-wise coking coal imports
JSW steel recorded the highest imports at 1.27 mnt in January’24, up 16% m-o-m as against 1.09 mnt in December’23. Sail recorded a drop of 37% in monthly import volumes at 0.92 mnt followed by Tata steel at 0.63 mnt (Down by 27%). RINL imports plunge by 24% to 0.27 mnt in january’23, whereas JSPL imported 0.32 mnt in the month under review.
Outlook
In the coming months, India’s imports may experience a drop. Imports from Australia, one of the top coking coal exporters to India, may decline due to supply constraints caused by Australia’s rainy season from January to March ’24. Additionally, the Red Sea crisis is diverting US coking coal via the Cape of Good Hope, leading to delays in Indian delivery by 10 days.
