India's Coal Imports Decline 8.5% in February as Domestic Stocks Hit Record High
India's coal imports fell by 8.5 per cent to 16.55 million tonnes in February, according to data compiled by mjunction services and reported by PTI. This decline is attributed to record-high domestic stockpiles and firm global prices, which have reduced the country's reliance on overseas supplies. The trend is expected to continue in the near term as domestic miners intensify efforts to liquidate accumulated inventories.
Key Factors Behind the Import Drop
Vinaya Varma, MD & CEO of mjunction, highlighted that a combination of factors led to the reduction in thermal coal imports. "A record high stockpile of domestic coal and firm seaborne prices resulted in a drop in thermal coal imports. With the domestic miners endeavouring to liquidate stocks, the weak trend in imports is expected to continue during the current month," he stated.
In comparison, coal imports stood at 18.10 million tonnes in February 2024-25. On a month-on-month basis, imports remained largely flat, with 16.64 million tonnes recorded in January 2026.
Breakdown of Coal Imports
The import data reveals a mixed picture across different coal types:
- Non-coking coal shipments decreased to 9.80 million tonnes in February, down from 11.08 million tonnes a year ago.
- Coking coal imports rose to 3.92 million tonnes, up from 3.79 million tonnes in the same period.
For the period from April to February 2025-26, non-coking coal imports totaled 137.60 million tonnes, lower than the 152.26 million tonnes recorded in the corresponding period of 2024-25. Conversely, coking coal imports increased to 54.31 million tonnes from 49.62 million tonnes.
Domestic Production and Government Initiatives
The decline in imports aligns with India's broader push to strengthen domestic coal production under the government's self-reliance initiative. In 2024-25, India's total coal output rose to 1,047.523 million tonnes from 997.826 million tonnes in the previous year, marking a growth of approximately 4.98 per cent.
Sanjeev Kumar Kassi, Joint Secretary at the Coal Ministry, emphasized the comfortable stock position at thermal power plants. "Coal stock at the power plants is around 55 million tonnes as of yesterday (Tuesday), adequate for 24 days of uninterrupted power generation based on the average consumption of the last seven days. So we have absolutely no deficit at the power generation side," he said during an inter-ministerial briefing on developments in West Asia.
He added that domestic coal production is currently matching consumption levels, ensuring stability in power generation despite rising summer demand.
Implications for the Energy Sector
The robust domestic stockpiles, sufficient for about 24 days of power generation, indicate "absolute no deficit" on the power generation front. This positions India well to manage potential shortages and maintain energy security. The ongoing efforts to liquidate inventories and boost domestic output are expected to keep import levels subdued in the coming months, reinforcing the country's move towards greater self-sufficiency in coal supply.
