India's Coal Export Grew 23% in FY25 to 1.9 Million Tonnes during the Push for Energy Self-Reliance

New Delhi, October 7, 2025 – Indian coal exports grew 23.4% from last year to 1.908 million tonnes (MT) in FY2024-25, reflecting the government’s growing efforts to boost overseas sales as part of its overall energy self-reliance initiative. In provisional government data made public on Monday, consistent growth reflects an enhancement in domestic coal output and export logistics facilities.

Volume Growth Outpaces Value Gains

During FY2023-24, India exported 1.546 MT of coal. Latest figures reflect strong volume growth; however, export value posted a marginal decline. Value-wise, coal exports came in at ₹1,643.4 crore in FY25 compared to ₹1,828.2 crore in FY24. The value decline in spite of higher shipment volumes was primarily caused by decreasing global coal prices in the financial year.

Key Export Destinations and Regional Reach

India also goes on to export coal primarily to neighboring countries like Nepal, Bangladesh, and Bhutan, by virtue of location and well-established trade routes. Government estimates place India’s export potential as high as 15 million tonnes per annum, targeting:

• 8 MT to Bangladesh
• 3 MT to Myanmar
• 2 MT to Nepal
• 2 MT to other regional allies

Ministry of Coal officials emphasized that enhancing exports is among the country’s broader goals to attain energy independence, import substitution, and diversification of the economy.

Energy Security and Economic Growth

The twin approach of the government for increasing local production and selective promotion of exports is aimed at improving energy security, generating employment opportunities, and enhancing fiscal revenues. With more reliance on domestic coal, India reduces risk exposure to volatility in international markets and brings more robustness to its long-term energy security.

Future Outlook for the Sector

With ongoing policy encouragement for the export coal trade, India’s coal industry is expected to play a two-way role. First one ensuring domestic energy self-reliance, and the second – exploring regional opportunity markets. Experts expect exports to continue gathering momentum as India invests in cleaner mining technologies, logistics improvement, and port productivity enhancement.

The 23% increase in FY25 exports is a milestone towards the vision of India to be a champion of the country’s indigenous coal supply chain, ensuring domestic energy requirements along with strategic trade growth.

Disclaimer: At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations