New Delhi – In a significant development for India’s energy sector and economy, the country witnessed a 7.9% drop in coal imports during the financial year 2024 – 25. As per a statement from the coal ministry, coal imports in FY25 stood at 243.62 million tonnes (MT), a notable decrease from the 264.53 MT imported in FY24. This decline has led to substantial foreign exchange savings, amounting to approximately $7.93 billion (Rs 60,681.67 crore).
Despite a 3.04% growth in coal – based power generation in FY25 compared to the previous fiscal year, the sharpest decline was seen in the imports for blending by thermal power plants, which decreased by 41.4%. This clearly indicates India’s successful efforts to reduce its reliance on imported coal and boost self – sufficiency in domestic coal production. The non – regulated sector, excluding the power sector, also registered a more pronounced fall, with imports dropping by 8.95% year – on – year.
The central government has been implementing a series of initiatives to enhance domestic coal production and cut down on imports. Commercial coal mining and Mission Coking Coal are among the key measures. These efforts have paid off, as coal output in FY25 grew by 5% compared to FY24. Coal remains a crucial energy source for India, especially for sectors like power, steel, and cement. However, the country has long faced challenges in meeting the domestic demand for coking coal and high – grade thermal coal due to limited reserves. As a result, coal imports have been essential to meet the requirements of key industries such as steel. With the current decline in imports, India is making significant progress towards its goal of energy self – reliance, and the government’s initiatives are expected to further strengthen the domestic coal sector in the coming years.
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