South African Coal Shipments to India Increase 28% in Sep'17

According to the vessel line-up data, Indian Non-Coking coal imports from South Africa's premium port Richards Bay has significantly gone up by 28% M-o-M in Sep'17.

Coal import in Sep'17 stood 3.56 MnT against 2.77 MnT in Aug'17, which was also the highest monthly total for CY17. Driven by Indian Demand, RBCT's Non-coking coal export rose 3% M-o-M to 6.70 MnT during the month.

India has been the chief consumer of South African coal, and has acquired the majority of the coal from the Richards Bay Terminal in CY17. The country had a share of more than 40% in RBCT's total Non-coking coal export of 57.07 MnT during Jan'17-Sep'17.

Indian coal import was expected to increase post monsoon, were also supported by CIL's decision to regulate coal supply to Non-power sector in the period of low coal production. Indian buyers then had to turn towards South African coal market, in spite of the high prices to meet their demands.

An Indian trader was heard saying, "Many coal importers were hoping that coal prices will remain low and were waiting for the monsoon season to end, but owing to the rise in the international coal market, South African coal prices have also went up and now they are forced to buy coal at high rates."

Monthly Average price of South African 5500 NAR coal, most preferred by Indian Buyers, was USD 74.6/MT, FoB Richards Bay in Sep'17.

Major Coal Importers from RBCT in Sep'17:
South Korea replaced Pakistan to become second-largest Non-Coking coal importer in Sep'17. Korea received 0.44 MnT coal from RBCT, with an increase of 199% M-o-M.

Pakistan's coal import fell 62% M-o-M to 0.34 MnT in Sep'17.Netherlands, Spain, Israel and Gibraltar were among the other major coal importers from RBCT during the month.

Source: SteelMinT Research | Quantity in MnT