Coal Imports Up 1.5 Per Cent Despite Push for Local Output

28 Aug 2025 CW Team

India’s coal imports rose by 1.5 per cent year-on-year to 76.40 million tonnes (MT) in the April–June quarter of FY26, compared to 75.26 MT in the same period last year, according to data from mjunction Services Ltd, a B2B e-commerce platform jointly operated by Tata Steel and SAIL. This increase comes despite the government’s ongoing efforts to boost domestic coal output and reduce import dependency.

In June 2025, coal imports totalled 23.91 MT, up from 22.97 MT in June 2024. Non-coking coal imports during the quarter were 49.08 MT, marginally lower than 49.12 MT in the same period last year. Meanwhile, coking coal imports rose to 16.37 MT, up from 15.45 MT in April–June 2024. For the month of June alone, non-coking coal imports stood at 14.85 MT, and coking coal imports at 5.78 MT, both higher than their respective year-ago levels.

On the domestic front, Coal India Ltd (CIL)—which accounts for more than 80 per cent of India’s coal production—reported an 8.5 per cent decline in output for June 2025, producing 57.8 MT compared to 63.1 MT in June 2024. While CIL did not attribute a specific reason for the drop, industry experts pointed to seasonal disruptions during the monsoon, which commonly hinder mining activities and logistics, thereby affecting coal dispatch to power plants.

Despite these seasonal challenges, Coal Minister G Kishan Reddy has assured that there will be no coal shortage during the monsoon, highlighting the government's preparedness to meet demand across sectors, particularly power.

The Ministry of Coal reiterated its commitment to sustainable growth, enhanced domestic coal availability, and reducing reliance on imports. With these initiatives in place, the coal sector continues to be a key driver in India’s energy and industrial growth story.

Infrastructure Energy

28 Aug 2025

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