Domestic Coal Production Surges 42% to Reach 22.03 Million Tonnes

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Production from captive and commercial coal mines in the country rose by 42 per cent year-on-year in October, reaching 22.03 million tonnes. In the same month last year, these mines produced 15.49 million tonnes of coal. The government provided this information on Monday.

Coal dispatch in October also increased by 36 per cent to 21.11 million tonnes, compared to 15.48 million tonnes in October 2023.

According to the Ministry of Coal, the sector also recorded strong growth during the April–October period of the current financial year. Coal production during this period rose to 117.23 million tonnes from 105.33 million tonnes in the previous year—an increase of 11.30 per cent. Meanwhile, coal dispatch grew by 11.53 per cent to reach 124.86 million tonnes, up from 111.95 million tonnes in the same period last year.

The Ministry stated that the Lohari coal mine, located in Jharkhand, received permission to commence operations in October 2024. This mine had been awaiting the start of operations for several years. According to the Ministry, this approval reflects the impact of reforms aimed at enhancing the ‘ease of doing business.’ With this, the total number of operational captive and commercial coal mines has risen to 87.

The Ministry noted that increased production from these mines will help reduce dependence on imported coal, strengthen supply chains, and save foreign exchange. This will also support the goal of an ‘Atmanirbhar Bharat’ (self-reliant India) regarding this critical raw material, which is essential for industrial growth.

The Ministry added that these results demonstrate improved operational efficiency, mining productivity, and better utilisation of available mining capacity within the captive and commercial coal mining sector. Meanwhile, in August 2026, India’s coal imports declined by 5.83 per cent year-on-year to 104.57 million tonnes. In August of the previous year, the country had imported 111.05 million tonnes of coal. According to the ministry, there was a reduction of 6.48 million tonnes in coal imports during this period, reflecting improved availability of domestic coal and efforts to strengthen the supply chain.

The ministry stated that it would continue to focus on sustaining production growth, addressing supply-related bottlenecks, and enhancing coal availability. To this end, efforts will be made—through policy reforms, effective regulatory oversight, and collaboration with relevant stakeholders—to ensure a reliable supply that meets the country’s growing energy and industrial requirements.

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