BUSINESS

National Coal Index Drops 3.48% In June 2024 Amid Rising Production And Ample Supply

The premium on coal auctions serves as a barometer for industry sentiment, and the recent sharp drop in auction premiums points to an ample coal supply in the market.

Read More: Petrol, Diesel Rates Today: Check Top City Wise Petrol Prices In India On 16th August 2024

New Delhi: The Ministry of Coal announced that the National Coal Index (NCI) showed a decline of 3.48 per cent in June 2024, registering 142.13 points compared to 147.25 points in the same period last year, on Friday.

According to the Ministry of Coal, this drop indicates a stable and sufficient coal supply in the market, aligning with growing demands from key sectors. The National Coal Index (NCI) is a composite price index that reflects coal prices across various sales channels, including Notified Prices, Auction Prices, and Import Prices.

Read More: Gold Rates Today: Check Top City Wise Gold Prices In India On 16th August, 2024

It tracks the prices of both coking and non-coking coal of different grades, catering to both regulated sectors like power and fertilizer and non-regulated industries. With FY 2017-18 as the base year, the NCI acts as a key indicator of market trends, offering valuable insights into price movements.

The premium on coal auctions serves as a barometer for industry sentiment, and the recent sharp drop in auction premiums points to an ample coal supply in the market. The country’s coal production witnessed robust growth of 14.58 per cent in June 2024 compared to the same period last year, ensuring a stable supply to critical sectors dependent on coal, thus playing a crucial role in maintaining energy security.

Read More: Hindustan Zinc To Pay Special Dividend Of Rs 8,000 Crore To Shareholders: Check Record Date

The declining trend in the NCI reflects a more balanced market, aligning supply and demand more effectively. With adequate coal availability, the nation is well-positioned to meet growing demand while supporting long-term energy needs, strengthening a resilient and sustainable coal industry and paving the way for a more prosperous future. 

Source :
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Popular

To Top