India’s coal imports declined by 8.5% in February, reflecting a combination of elevated domestic stockpiles and firm international prices that dampened buying interest from power producers and industrial users.
According to industry data, sufficient inventory levels at thermal power plants and ports reduced the immediate need for fresh imports. At the same time, relatively high global coal prices made overseas procurement less attractive compared to domestic sourcing.
The drop in imports was particularly visible in the non-coking coal segment, which is primarily used for power generation. Improved domestic supply and steady production from state-run miners also contributed to lower reliance on imports during the month.
Experts note that the trend aligns with India’s broader strategy to enhance energy security by boosting local coal output and reducing import dependence. However, coking coal imports, essential for the steel sector, continue to remain stable due to limited domestic availability.
Looking ahead, import patterns are expected to remain influenced by global price movements, domestic production levels, and seasonal demand for electricity. While high stockpiles may keep imports subdued in the near term, any surge in power demand or price corrections in global markets could alter the trajectory.