In India’s dynamic energy sector landscape, coal remains a cornerstone resource. Keeping a close eye on the nation’s thermal coal stocks is crucial for understanding the state of energy production and distribution. Thermal coal stocks at 21 major Indian ports experienced a 2% week-on-week decline on 16 September 2023. Let’s explore the specifics of this decline, analyze the contributing factors, and explore the implications for India’s energy landscape.

Stock Snapshot

As of Week 37 in 2023, thermal coal stocks at Indian ports stood at 12.98 million tons, down from 13.23 million tons during Week 36. This 2% week-on-week decrease raises questions about the factors influencing this shift in thermal coal inventories.

Notable Port Movements

While the overall trend in thermal coal stocks is a decline, certain ports and companies have demonstrated noteworthy movements in coal inventories. Let’s have a look at the port movements:

Vizag Port: It recorded the most significant increase, with thermal coal stocks rising by an impressive 35% week-on-week, reaching 0.60 million tons in Week 37, up from 0.44 million tons in the previous week. This substantial uptick highlights its role in handling and storing thermal coal.
Gangavaram Port: It also experienced a substantial surge in thermal coal stocks, boasting a 25% rise compared to the previous week.
Paradip Port: It witnessed a 10% increase in thermal coal stocks, reaching 1.20 million tons in Week 37.
Mundra Port: It noted a marginal 3% week-on-week reduction in thermal coal stocks, with quantities declining from 0.76 million tons to 0.74 million tons.
Tuticorin Port: It registered an 8% week-on-week decrease in thermal coal stocks, dropping from 1.34 million tons to 1.23 million tons.
Navlakhi Port: It observed a notable 19% week-on-week decline in thermal coal stocks, decreasing sharply from 1.03 million tons to 0.83 million tons.

Key Players

Understanding the major players in thermal coal stocks provides valuable insights into India’s energy landscape.

Adani Enterprises: It emerged as a significant player, boasting the highest stocks of 3.80 million tons. These stocks experienced an 11% week-on-week increase, demonstrating Adani’s robust presence in the coal storage sector.
Adani Power: It reported total stocks of 1.48 million tons, remaining largely stable week-on-week.
Agarwal Coal: With total stocks of 0.61 million tons, it experienced a 10% week-on-week decrease in thermal coal stocks.
Tata International: It reported total stocks of 0.52 million tons, reflecting a 6% week-on-week decline.

OFB’s Insight

The 2% week-on-week decline in thermal coal stocks at major Indian ports in Week 37 of 2023 reflects the dynamic nature of India’s energy sector. Factors such as port-specific fluctuations, and the performance of key players like Adani Enterprises have all contributed to this trend.