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India's coal imports fall nearly 13% in April as domestic supply improves

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New Delhi | July 2, 2026 6:56:04 PM IST
India's coal imports fell nearly 13 per cent year-on-year in April 2026, driven by a sharp decline in imports by the power sector, as higher domestic coal availability continued to reduce the country's dependence on overseas supplies, the Ministry of Coal said on Thursday.

The ministry said total coal imports declined to 21.13 million tonnes (MT) in April 2026 from 24.27 MT in the same month last year, a reduction of 12.95 per cent.

"The decline reflects the sustained impact of the Ministry of Coal's continuing push for import substitution and enhanced domestic coal availability, particularly for the power sector," the ministry said in its statement.

Imports by power plants recorded the steepest fall, dropping 24.89 per cent to 3.51 MT from 4.67 MT a year earlier.

According to the ministry, the decline was "driven by improved domestic linkage supplies and reduced dependence on imported coal for blending."

Coal imports by Imported Coal-Based (ICB) power plants fell 27.45 per cent to 2.88 MT from 3.97 MT, marking the sharpest decline among all categories tracked.

Meanwhile, imports by Domestic Coal-Based (DCB) plants for blending purposes declined 11.26 per cent to 0.63 MT from 0.71 MT.

The ministry said this "underscores the success of efforts to ramp up assured domestic supply and reduce reliance on the blending mandate."

Coal imports as a share of total coal consumption also fell from 21.69 per cent in April 2025 to 19.68 per cent in April 2026, a decline of over 2 percentage points.

However, coking coal imports, used mainly by the steel industry, remained largely stable. They rose marginally 1.34 per cent to 6.01 MT from 5.93 MT a year ago.

The ministry said the increase was "consistent with continued growth in domestic steel production" and reflected the fact that coking coal imports are "driven by resource-specific requirements rather than availability gaps."

The Coal Ministry attributed the overall decline in imports to higher domestic coal production and better supply management.

"The consistent decline across ICB, DCB and overall import categories reflects the Ministry of Coal's sustained focus on ramping up domestic coal production and offtake, strengthening First Mile Connectivity, close monitoring of thermal power plant stock positions, and coordinated efforts with Ministry of Railways, Coal India Limited (CIL) and its subsidiaries to ensure assured supply to power utilities," the statement said.

It added that the government remains committed to further strengthening domestic coal production, evacuation infrastructure and quality-based grading to sustain the trend of lower import dependence in the coming months. (ANI)

 
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