Coal mining companies face difficulties when exporting products

05/12/2023

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At the AGMP site, a meeting was held on problematic issues of the coal industry, chaired by the advisor to the executive director of the association, Tulegen Mukhanov.

At the meeting with the participation of representatives of coal mining companies, issues of supplying municipal coal to the domestic market, selling coal for export, and implementing proposals within the framework of the resolution of the IV Coal Industry Forum were discussed.

According to operational information from coal mining companies, the domestic market is currently supplied with municipal coal. The current situation regarding the supply of solid fuel to the population is under constant control of the Ministry of Industry and Construction, NPP Atameken, and AGMP.

Issues of loading coal for export are also discussed weekly at meetings of the operational headquarters established at the Atameken National Chamber of Entrepreneurs with the participation of the Ministries of Transport, Trade and Integration. AGMP takes an active part in the meetings.

At the meeting, specialists from coal mining companies drew attention to such difficulties in supplying products to non-CIS countries, such as a shortage of cars, non-coordination of transportation plans by KTZ, Russian Railways, and the introduction of conventional bans. Meanwhile, untimely delivery of coal to foreign buyers entails the accrual of significant fines, as a result of which the financial burden on coal mining enterprises will increase. Moreover, export contracts are concluded on strict conditions of continuity of supply. The lack of supply guarantees will certainly affect the choice of coal buyers, which may lead to loss of sales markets and will affect a decrease in coal production volumes.

According to Ilyas Mazhitov, director of the department of coal industry and energy of ASMP, earlier ASMP sent a letter about problems with coal exports to the Ministries of Transport, Trade and Integration, KTZ. It is planned to contact government agencies with a similar letter in the near future.

Following the results of the IV Coal Industry Forum, its participants adopted a resolution. The first paragraph of the resolution stipulates that AGMP and NCE RK “Atameken”, together with the Ministry of Industry and Construction, will develop a long-term Program for the Development of the Coal Industry of Kazakhstan in order to formulate a predictable state policy regarding the industry, including encouraging the development of new deposits. AGMP together with the Ministry of Railways have begun to implement this issue. Thus, a Working Group is being created under the Industry Committee of the Ministry of Railways.

“The program for the development of the coal industry will be a historical document, which will be developed for the first time in our country, so we encourage coal mining enterprises to actively participate in its preparation,” T.M. Mukhanov emphasized.

Coal mining companies also addressed specific issues to the AGMP to facilitate their resolution.

Source and Credit: agmpnews.kz

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