Indonesia's coal exports increase by 23% y-o-y in Jan-Sep'24

Indonesian coal exports rose by 23% y-o-y in January-September, 2024, reaching 320.07 million tonnes (mnt) compared to 260.79 mnt in January-September, 2023, as per vessel lineup data from BigMint. In January-September, 2024, Indonesian non-coking coal exports stood at 317.41 mnt, increasing by 22.4% from 259.24 mnt in January-September, 2023.

Non-coking coal exports to Asian countries

• China: China remained the top destination, with non-coking coal shipments totalling 98.31 mnt in January-September, 2024, up by 32.7% y-o-y from 74.08 mnt in January-September 2023, and a 5.3% m-o-m increase in September, 2024.
  
  
• India: Exports to India were 81.22 mnt in January-September, 2024, a 16.5% y-o-y rise from 69.71 mnt in January-September, 2023.
  
  
• The Philippines: Exports rose by 21% to 26.29 mnt y-o-y in Januay-September, 2024 from 21.72 mnt in January-September, 2023. However, exports dropped by 19.2% m-o-m in September, 2024.
  
  
• Malaysia: Shipments to Malaysia increased by 11.3% y-o-y to 17.89 mnt in January-September, 2024 compared to 16.07 mnt in January-September 2023, with a 12.8% m-o-m increase in September, 2024.
  
  
• Japan: Exports to Japan increased by 17% to 16.95 mnt y-o-y in January-September 2024 from 14.49 mnt in the same period of 2023, with a strong 30.3% m-o-m increase in September 2024.
  
  

Port-wise exports

Exports from Samarinda decreased by 20.6% to 53.67 mnt y-o-y in January-September, 2024 compared to 67.60 mnt in January-September, 2023. Taboneo witnessed increase in exports by 36% y-o-y to 50.77 mnt in January-September, 2024 from 37.32 mnt in the same period in 2023.

Factors behind higher exports from Indonesia

• Increased global demand for energy: Countries, especially in Asia and Europe, are looking for alternative sources of energy amid rising energy prices, pushing Indonesia to capitalise on this demand.
  
  
• Relaxation of export quotas: Indonesia has been modifying its Domestic Market Obligation (DMO) policies and easing certain export restrictions to balance international market demand with the need to maintain sufficient local supply.
  
  
• Higher production targets: The Indonesian government has raised coal production targets to boost exports, prompting coal miners to ramp up operations to meet both domestic and international demand.
  
  
• New export contracts, markets: Indonesia has been actively seeking new markets and signing export agreements with countries experiencing energy shortages or reverting to coal, as evidenced by rising exports to China, India, and various European nations.