Coal India Opens Online Coal Auctions to Buyers From Bangladesh, Bhutan and Nepal in Major Export Push
State-run miner Coal India Limited (CIL) has opened its online coal auction platform to buyers from Bangladesh, Bhutan and Nepal, marking a significant shift in India’s coal export policy. Effective January 1, 2026, foreign buyers from these countries can now directly participate in CIL’s e-auctions without routing purchases through Indian intermediaries.
New Delhi, January 2: State-run miner Coal India Limited (CIL) has opened its online coal auction platform to buyers from Bangladesh, Bhutan and Nepal, marking a significant shift in India’s coal export policy. Effective January 1, 2026, foreign buyers from these countries can now directly participate in CIL’s e-auctions without routing purchases through Indian intermediaries.
End of Middlemen, Push for Transparency
Under the revised framework approved by the CIL Board, overseas coal consumers can bid alongside domestic buyers via the Single Window Mode Agnostic (SWMA) e-auction system. Earlier, foreign buyers had to rely on Indian traders, often leading to higher costs and limited transparency. Coal Smuggling Case: ED Raids 18 Locations in Jharkhand Linked to BCCL Contractor.
A senior CIL official said the move aims to expand regional markets while safeguarding India’s domestic energy needs.
How the New Auction System Works
The updated policy introduces clear operational guidelines for foreign participants:
• One-time online registration for overseas bidders
• Digital-only bidding through existing CIL platforms
• FEMA-compliant transactions
• Payment norms:
• Nepal buyers can pay in INR or USD
• Bangladesh and Bhutan buyers must pay in USD, with coal priced in INR
Managing Surplus as Domestic Demand Eases
The policy shift comes amid slowing domestic coal demand, particularly from the power sector, as renewable energy capacity rises. During April–December 2025, CIL reported a marginal dip in supplies to domestic consumers. Coal India Share Price Today: Coal India Stock Gains Marginally in Early Trade After Announcing INR 10.25 Interim Dividend for Shareholders; Check Latest Price on NSE.
Analysts believe opening auctions to neighbouring countries will help absorb surplus coal and protect margins, especially against competition from exporters such as Indonesia.
Positive Market Reaction
Investor sentiment turned upbeat following the announcement. Coal India shares rallied nearly 7% on the Bombay Stock Exchange, touching a 52-week high of INR 429.65. Markets see the move as a revenue-positive reform and a step toward modernising the PSU miner’s sales strategy.
(The above story first appeared on LatestLY on Jan 02, 2026 06:39 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).