Coal production from captive and commercial mines in India reached 17.88 million tonnes (MT) in June, with coal dispatch hitting 18.55 MT. This marks a 14.9% increase compared to June 2025 when production was at 15.56 MT.
In the first quarter of FY27 (April to June), cumulative coal production rose by 5.35% compared to the same period in the previous financial year. Coal dispatch during the quarter also saw a year-on-year increase of 1.70%.
India’s captive and commercial coal mining sector showed growth in June 2026, with higher production and dispatch reported for the month, as stated by the Coal Ministry.
The ministry credits this progress to policy initiatives, regulatory facilitation, and sustained engagement with stakeholders. It noted improvements in mine operations, capacity utilization, and production planning as key factors driving this growth.
Coal production from captive and commercial mines in the first quarter has grown at a Compound Annual Growth Rate (CAGR) of around 10.7% between FY 2024–25 and FY 2026–27, indicating a consistent upward trend in domestic coal production. Three coal mines — Urtan, Dhirauli, and Bikram — began coal production during the quarter, with a combined Peak Rated Capacity (PRC) of 7.51 MTPA.
The commencement of production from Urtan, a coking coal block, is particularly significant as coking coal is crucial for steel production. This move is expected to enhance the availability of domestic coking coal for the steel sector and help reduce dependence on imports.
The ministry anticipates that the operationalization of these mines will boost domestic coal availability, enhance supply security, and meet the increasing demands of the country’s energy and industrial sectors, thereby contributing to economic growth.
