Coal India Reports 6% Decline in Production at 229.8 MT; Govt Pushes for Output Boost to Reduce Imports

New Delhi, August 2: Coal India Ltd (CIL), the country’s largest coal producer, has reported a 6% drop in coal production for the April–July period of the current financial year, producing 229.8 million tonnes (MT) compared to 244.3 MT during the same period last year. The company disclosed the figures in a regulatory filing to the Bombay Stock Exchange (BSE) on Friday.

While the company has not cited any specific reason for the decline, industry analysts attribute the dip to seasonal monsoon disruptions which typically affect mining operations and delay coal dispatch to power plants. Despite this temporary setback, the government remains focused on ramping up production to meet domestic demand and cut down reliance on coal imports.

Coal Minister G. Kishan Reddy, in a recent statement assured that there will be no coal shortage this monsoon, and the country is well-prepared to meet the demand across key sectors, particularly power. The Coal Ministry reaffirmed its commitment to sustainable growth, enhanced coal availability, and reduced import dependency.

In line with this commitment, Coal India has set an ambitious production target of 875 MT and an offtake goal of 900 MT for the fiscal year 2025-26. As of July, monthly production stood at 46.4 MT, down from 55 MT in the same month last year. CIL continues to hold a dominant position, accounting for over 80% of India’s coal production.

About Coal India Limited:
Established in November 1975, Coal India Limited is a state-owned Maharatna company and the world’s largest coal producer. It operates through subsidiaries spread across eight Indian states, managing 310 active mines, including 129 underground, 168 opencast, and 13 mixed operations. As of April 1, 2025, the company employs 220,242 people, making it one of the largest employers in India.

Market Performance:
As of August 1, 2025, Coal India shares closed at ₹372.80, down by ₹3.55 (0.94%) from the previous close. The stock opened at ₹375.00 and touched an intraday high of ₹381.15 and a low of ₹370.70. The company’s market capitalization stands at ₹2.29 lakh crore, maintaining strong investor interest despite near-term challenges.

With strategic initiatives and government backing, Coal India remains central to India’s energy security and economic growth, as the country continues its transition toward greater energy self-reliance.