Veermata Jijabai Technological Institute, Matunga

Dist. Mumbai Pin-400019

APPROVAL SHEET

The project report entitled “Supply Chain Management of Coal in India " by Amolkumar
Patil (172200010), Chirag Patil (172200012), Dipesh Patil (172200023), Bhagyashree
Kadam (1722001013), Priyanka Dusane (1722001037) is approved for the partial fulfillment
of the first year in Degree of Master of Technology in Project Management.

Prof. Balaji Ramadurai Dr. D. K. Shinde

Guide Professor& Head
Department of Production Engineering

Examiners:

1.

2.

3.

I
 ACKNOWLEDGEMENT
This project report would not have been possible without the kind support and help of many
individuals and the University. We would like to extend our sincere thanks to all of them.
We would like to express our gratitude towards Prof. Balaji Ramadurai, for his kind
cooperation and encouragement which helped us in the completion of the project report.
We thank our Head of the Department Dr. D. K. Shinde Sir for making the facilities available
in the department for completion of this project report. We also thank all the faculty members,
M.Tech and Research students from the department for their guidance and support from time
to time.
Thanks and appreciations also go to our parents and our friends who have provided us with the
much needed moral support during the project work.

Patil Amolkumar K. (172200010)

Chirag Patil (172200012)

Dipesh Patil (172200023)

Bhagyashree Kadam (172201013)

Priyanka Dusane (172201037)

II
 ABSTRACT

Coal is the single biggest cost component for thermal power generators, typically accounting
for 60 to 70 percent of input costs. And managing coal is complex, with players facing an array
of issues across the supply chain—from sourcing to logistics management, bulk handling, yard
management, and overall quality management. In emerging markets such as India, the
addressable value loss can reach 7 to 12 percent of the total cost of coal across the entire chain.
Where is value lost? To begin with, in coal sourcing. Many power companies, unable to fulfill
requirements from long-term standard contracts with domestic sources, are relying on
alternative routes such as spot and short-term coal contracts or imports. This adds to logistical
challenges in the form of capacity constraints (including rail and port) and sizable quantity
losses because of poor external infrastructure. In addition, managing quality losses across the
supply chain is a huge challenge, amplified by improper quality measurement and inefficient
yard and stockpile management practices.

III
APPROVAL SHEET…………….…………………………………………..I
ACKNOWLEDGEMENT………………………….…………………...….II
ABSTRACT…………….………………………….……………….………III
CONTENTS……………………………………….…………….………….IV

CONTENTS

Chapter Title Page No

1 Introduction 1

2 Global Coal Scenario 3

3 Demand and Supply 6

4 Coal Supply Chain 9

5 Conclusions 17

6 References 18

IV