Coal India wants a policy on coal exports before it could finalise commercial contracts for exporting the dry fuel, a senior CIL official said. “There is need for a policy. But, we are not aggressive as we are facing high demand in the domestic market and the initial aim is to fulfil that,” the senior Coal India official told PTI.
“We are in process of dialogue for export to Nepal, Bangladesh and Bhutan to create a market for long term. A very small quantity of coal is exported to neighbouring countries through bilateral agreements,” he said.
Earlier, government was planning to export coal with high ash content or of higher grades. Coal India was scouting for export opportunity at the time when pithead coal stock was high as close to 70 million tonne in May 2017.
Pithead coal finds comparatively low interest due to evacuation and cost issues. With sudden spiralling demand from the power sector, the pithead stock had reduced to 23 million tonne now.
In the recent months the miner was failing to fulfil coal demand for power and non-power sectors like aluminium and cement sector.
Coal India had revised its internal production target to 652 million tonne against 630 million tonne fixed earlier following pressure from the ministry to increase production.
Source: Financial Express