Major commodities imports into China have started the year strongly, but because of the possible impact of the approaching Lunar New Year holidays, care should be used when extrapolating the positive January result.

However, even if imports are somewhat ahead of schedule into January, the figures are still excellent, particularly when compared to other economic indicators like the manufacturing index, which suggests that the second-biggest economy in the world is having difficulty gaining traction.

Iron ore imports appear to be quite high for January; 112.57 million metric tons of the essential steel raw material are expected, according to commodity analyst Kpler.

Only the official customs data peak of 112.64 million tons in July 2020 would surpass this nearly record level.

Even if the lesser of the two experts' projections of January's iron ore imports is accurate, LSEG's estimate of 105.27 million tons would still represent an increase over December's customs total of 100.86 million tons.
 

The country's energy landscape has been given possibilities by the Interim Budget 2024, which is at a critical crossroads. This budget presents itself as a doorway of opportunity, especially for the manufacturing and renewable energy sectors, and it also serves as a strategic road map for innovation and sustainable growth. India has been struggling with the issue of importing fossil fuels for a long time.

This reliance is susceptible to financial difficulties within a country as well as the unpredictability that arises from changes in the global economy and environmental concerns. But India has been seeing a paradigm shift as it looks toward renewable energy, and renewables are now unquestionably leading the way.

According to the Ministry of New and Renewable Energy, 2024 is a critical year for the nation's commitment to sustainable energy and reaching the 500 gigawatt target by 2030, with renewables at the forefront and demanding decisive action. This goal, which is almost five times the installed capacity now in place, is being driven by a number of powerful reasons, such as the rising cost of solar panels, technology breakthroughs, and increased public awareness of sustainability and environmental issues.

The budget, which attracted private investment and provided government incentives, was crucial in advancing domestic manufacturing. By enabling communities and businesses to embrace the possibilities of renewable energy sources, innovative financial methods have the ability to make solar power more accessible than in the past.
 

The second-biggest private port operator in India, JSW Infra, intends to invest ?6,000–7,000 crore over the course of three to four years to boost its capacity to handle 250 million tonnes of cargo annually—a 40% increase. The development of a cargo terminal and two greenfield port projects in Karnataka and Odisha will receive the majority of the investment. In Odisha's Jatadhar port, JSW Steel plans to establish a steel mill. Additionally, JSW recently purchased the bulk of PNP Maritime Services' shares in the port company that operates in Raigad, Maharashtra.

In an effort to move the steel industry toward more sustainable and environmentally friendly energy practices, the Ministry of New and Renewable Energy said on February 2 that it will launch pilot programs that use green hydrogen in place of fossil fuels in the manufacture of steel.

The Indian government has released rules for these experimental initiatives.

For the pilot projects, three main areas have been identified: using hydrogen in blast furnaces, using hydrogen in the direct reduction ironmaking process, and gradually replacing fossil fuels with green hydrogen.

According to the National Green Hydrogen Mission whitepaper, new facilities should be able to run on green hydrogen, but pilot projects in steel plants that already exist can start by incorporating a modest amount of green hydrogen into their operations.

The Ministry of Steel and Scheme Implementing Agencies will carry out these experimental projects. The private sector, state enterprises, Indian R&D institutions, joint ventures, research labs, consortiums, and central and state public sector entities can all serve as the executing agencies.
The businesses ought to be able to move a finished pilot project closer to commercialization. Up to 50% of the total cost of capital equipment for the pilot projects that are chosen will be funded. However, in the event of a coalition of independent steel manufacturers and the direct reduction of iron (DRI) industry, the government will bear 70% of the costs.

In its inaugural Climate Action Report, released on Monday, ArcelorMittal Nippon Steel India (AM/NS India), a joint venture between multinational steelmakers ArcelorMittal and Nippon Steel, announced a plan to cut emissions intensity by 20% by 2030.
The key to reaching the goal is boosting renewable energy to provide 100% of the grid's electrical demands, more than doubling the amount of scrap steel recycled, and improving operating efficiency through new technological advancements.

Aditya Mittal, Chairman, AM/NS India, said, “As both our company and country expand, we are committed to addressing the challenge of decoupling development from emissions. Without a transformation in steel production, research indicates rising demand could lead to a 200 per cent increase in sector emissions by 2050.”

“Today, we announce that we are targeting a reduction in AM/NS India’s emission intensity by an additional 20 per cent, with a roadmap for achieving net-zero emissions in the long term,” he added.

At its IISCO facility in West Bengal, Steel Authority of India Ltd. may invest Rs 20,000–24,000 crore to establish a four million-tonne greenfield steel factory, according to officials. They said that it has acquired in-principle approval and intends to develop high-end flat hot rolled coil (HRC), including for automotive applications, at its current location in Burnpur. ADVERTISEMENT "They said, 'We have approval in principle.

"We have received in-principle approval for the greenfield plant which will produce flat HR coils, targeting grades like API (American Petroleum Institute) and automotive among others," IISCO steel plant director-in-charge Brijendra Pratap Singh told PTI. "Board approval is still awaited, but expected shortly," he said.

 

"A total of 10 offline bids have been received for seven coal mines, where two or more bids have been received for two coal mines," the coal ministry said in a statement. The online bids received as part of the auction process will be opened on Monday.

On Friday, the Ministry of Coal announced that it had received ten offline bids for seven mines. The government put 39 blocks up for auction in the eighth phase of the mine auction, which was held in November.

"A total of 10 offline bids have been received for seven coal mines, where two or more bids have been received for two coal mines," the Coal
Ministry said in a statement.

On Monday, the online bids submitted during the auction procedure will be available. According to the ministry, encouraging private sector involvement in the coal mining industry and raising coal production are the main goals of the start of the eighth round of commercial coal mining auctions.

Indian steel producers would probably start to have serious concerns about the Red Sea crisis, which could affect exports if it continues. In addition, the crisis coincides with a period of decreased demand and fierce international competition for steel companies.

About 10-15% of the yearly production of Indian steel producers—11 million tonnes in fiscal 2020 and 18 million tonnes in fiscal 2022—was exported during the two fiscal years, with flat steel accounting for about 70% of total production. According to data from Crisil Ratings, this decreased to 6.5% in fiscal 2023 (total exports were 8.3 million tonnes) after the government implemented export tariffs.

According to the report, India's steel exports are predicted to drop to 5-7 million tonnes in this fiscal year due to lower worldwide demand and prices.

“The freight operators are hesitant to commute through the channel, even if we offer to double the shipping charges. Most of our order wins would possibly take another six more months to come into execution mode. So, if the crisis lingers or becomes a more permanent problem, we will have to find alternate solutions including taking longer routes,” L&T CFO R Shankar Raman said.

Due to abundant supply and the possibility of warm weather reducing heating needs, economists predict a fall in global thermal coal prices in 2024.

Following the release of the company's performance report, which included records for both coal production and supplies, the shares of Coal India Limited saw a 3.45% increase. At 78.4 million tonnes (MTs), the month's coal output represented a 9.1% year-over-year increase. Despite the ambitious goal of 780 MTs for the fiscal year 2024, the business said that as of January, CIL had produced 610.3 MTs, indicating a rise of 10.8%. 

CIL also stated that they are committed to fulfilling the needs of the electricity industry, delivering 55 MTs to coal-fired power stations. Over the course of the fiscal year, the overall off-take climbed by 47.2 MTs, or 8.3%, to 619.5 MTs for the ten-month period. 

Bimlendra Jha, the managing director of Jindal Steel and Power Ltd (JSPL), announced his resignation from the business on Thursday. According to the company, Wholetime Director Sabyasachi Bandyopadhyay would temporarily take up the duties of Managing Director.

"Bimlendra Jha, Managing Director, has resigned citing personal reasons, with effect from January 31, 2024. The company appreciates his valuable contributions during his tenure with the company as MD," it said.

Experts noted that increasing coal gasification and liquefaction capacity will boost the steel and other end-user industries, cut emissions, and lessen India's need for imports of essential commodities like natural gas. As she introduced the interim budget to the legislature on Thursday, Finance Minister Nirmala Sitharaman said, "Coal gasification and liquefaction capacity of 100 MT will be set up by 2030."

Coal is transformed into syngas, a liquid fuel used to produce steel, during the gasification process.
The action is in keeping with Aatmanirbhar Bharat's goal, according to Somesh Kumar, Partner & Leader-Power & Utilities, EY.

The National Green Hydrogen Mission has been allotted Rs 600 crore in the Union Budget for 2024–2025—a significant increase of 102% above the previous year's budget of Rs 297 crore. Additionally, compared to the updated budget estimate of Rs 100 crore for the same mission, this amount marks a stunning 500% increase.

Prashant Vasisht, Senior Vice President and Co-Head of Corporate Ratings at ICRA, said, “The allocation for the Green Hydrogen Mission has been increased… this should provide impetus to the development of the green hydrogen ecosystem in the country.”
The National Green Hydrogen Mission was launched with an initial outlay of Rs 19,744 crore. This includes Rs 17,490 crore for the SIGHT program, Rs 1,466 crore for pilot projects, Rs 400 crore for research and development, and Rs 388 crore for other mission components.

In her speech to the joint session of the Lok Sabha and Rajya Sabha, President Droupadi Murmu stated that India has reached a major milestone in its renewable energy capacity, hitting 188 Gigawatts, up from 81 Gigawatts a decade earlier. The announcement is made prior to Finance Minister Nirmala Sitharaman's presentation of the Union Budget for 2024–2025.
President Murmu emphasised the country's renewable energy sector's explosive growth, pointing out that in the past ten years, the capacity of wind and solar power has doubled and grown 26 times, respectively.India currently ranks fourth globally in renewable energy and wind power capacity and fifth in solar power capacity.a

In her speech to the joint session of the Lok Sabha and Rajya Sabha, President Droupadi Murmu stated that India has reached a major milestone in its renewable energy capacity, hitting 188 Gigawatts, up from 81 Gigawatts a decade earlier. The announcement is made prior to Finance Minister Nirmala Sitharaman's presentation of the Union Budget for 2024–2025.
President Murmu emphasised the country's renewable energy sector's explosive growth, pointing out that in the past ten years, the capacity of wind and solar power has doubled and grown 26 times, respectively.India currently ranks fourth globally in renewable energy and wind power capacity and fifth in solar power capacity.a