Kolkata, March 3, 2025 – Coal India Limited (CIL) has revised its production and offtake targets for the ongoing fiscal year, with a projected 788 million tonnes (MT) of coal production and an offtake of 765 MT, according to the company’s chairman, P M Prasad. These targets are expected to be achieved by the end of March 2025.
Originally, CIL had set a higher target of 838 MT, which was later revised in January to a range of 806-810 MT due to various operational challenges. However, the company still aims to see a modest year-on-year growth despite the adjustments.
In FY'24, CIL achieved a production of 773.65 MT, marking a solid 10% increase compared to the previous year. This performance underscored the company’s ability to scale up its operations despite external challenges.
Speaking at the mjunction-organized Coal Market Conference, Prasad attributed the slowdown in offtake to a significant shortage of rakes at larger mines, which affected transportation capacity. However, he expressed optimism about the growth prospects in the coming months, with both production and offtake expected to rise by approximately 1.5% during the current fiscal year. This compares to the impressive 10% and 8.5% growth seen in production and offtake, respectively, in FY'24.
The availability of rakes had been further impacted by the Kumbh Mela, Prasad noted. However, following productive discussions with the Indian Railways, rake availability has improved, offering hope for smoother operations going forward.
In light of the recent softening of international coal prices, Prasad ruled out any plans for price rationalization by Coal India. He emphasized that the state-owned giant is not looking to compete with private commercial mines but rather complement them, aligning with the government’s broader goal of reducing coal imports.
Prasad also encouraged private commercial block owners to collaborate with Coal India’s Central Mine Planning and Design Institute (CMPDI) for support in enhancing their operations, reaffirming CIL's commitment to strengthening the domestic coal supply chain.
Looking ahead, Coal India has set an ambitious production target of 868 million tonnes for the next fiscal year, FY'26, as part of its ongoing efforts to meet the nation’s energy needs.
Originally, CIL had set a higher target of 838 MT, which was later revised in January to a range of 806-810 MT due to various operational challenges. However, the company still aims to see a modest year-on-year growth despite the adjustments.
In FY'24, CIL achieved a production of 773.65 MT, marking a solid 10% increase compared to the previous year. This performance underscored the company’s ability to scale up its operations despite external challenges.
Speaking at the mjunction-organized Coal Market Conference, Prasad attributed the slowdown in offtake to a significant shortage of rakes at larger mines, which affected transportation capacity. However, he expressed optimism about the growth prospects in the coming months, with both production and offtake expected to rise by approximately 1.5% during the current fiscal year. This compares to the impressive 10% and 8.5% growth seen in production and offtake, respectively, in FY'24.
The availability of rakes had been further impacted by the Kumbh Mela, Prasad noted. However, following productive discussions with the Indian Railways, rake availability has improved, offering hope for smoother operations going forward.
In light of the recent softening of international coal prices, Prasad ruled out any plans for price rationalization by Coal India. He emphasized that the state-owned giant is not looking to compete with private commercial mines but rather complement them, aligning with the government’s broader goal of reducing coal imports.
Prasad also encouraged private commercial block owners to collaborate with Coal India’s Central Mine Planning and Design Institute (CMPDI) for support in enhancing their operations, reaffirming CIL's commitment to strengthening the domestic coal supply chain.
Looking ahead, Coal India has set an ambitious production target of 868 million tonnes for the next fiscal year, FY'26, as part of its ongoing efforts to meet the nation’s energy needs.
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