India’s coal ministry said the country’s total coal import dropped by 12 per cent year-on-year (y-o-y) to 94.15 million tonnes (MT) during April-August 2021, on account of a substantial reduction in the import of non-coking coal.
This has resulted in considerable financial savings in the current year as coal prices are going up sharply in the international market, the coal ministry said in a statement.
“Due to a substantial reduction of import of non-coking coal in the current year, the total import of coal has also reduced to 94.15 MT in the period from April to August 2021 as compared with 107.01 MT during the corresponding period of 2019-20, a decrease of about 12 per cent,” the statement said.
The import of all varieties of non coking coal reduced by 16.09 per cent to 70.85 MT in the April-August period of the ongoing fiscal over the corresponding months of FY 2019-20. The country had imported 84.44 MT of all varieties of non coking coal during the corresponding months of the financial year 2019-20, the statement said.
“In the first five months of the financial year 2021-22 up to August 2021, the import of all varieties of non-coking coal has reduced to 70.85 MT, from 84.44 MT during the corresponding months of the financial year 2019-20 representing a decline of about 16.09 per cent,” it said.
The financial year 2020-21 is not being taken for comparison purpose due to industrial production getting severely affected during this year due to COVID-19-related restrictions where the decline observed is 21 per cent.
The reduction in imports of low calorific value of non-coking coal which is mainly used in the power sector is even more significant. During April-August period of 2021-22, the imports of such grades of coal have decreased about 47 per cent to 15.24 MT from 28.69 MT during the same period of 2019-20. The total domestic dispatch of coal has gone up by 9.44 per cent to 317.69 MT in the current financial year up to August 21, compared with 290.28 MT in the year-ago period.