The government has paved the way for the establishment of Coal Exchanges in India, marking a significant step towards modernising the country’s coal supply chain and creating a transparent, market-driven trading ecosystem, according to an official statement issued on Tuesday.
The Ministry of Coal said the recently enacted Mines and Minerals (Development and Regulation) Amendment Act, 2025 introduced the concept of a Mineral Exchange and empowered the Central Government to facilitate transparent and efficient trading of minerals, including coal and its processed forms.
In line with the legislation, the government earlier this month notified the Coal Exchange Rules, 2026, providing the regulatory framework for setting up and operating coal trading platforms.
To implement the initiative, the government had designated the Coal Controller Organisation (CCO) in December 2025 as the authority responsible for registering and regulating Coal Exchanges.
According to the ministry, eligible entities will be authorised by the CCO to establish and operate Coal Exchanges, frame market rules and bye-laws, and facilitate coal trading. Registrations will be granted for a period of 25 years.
The ministry said the introduction of Coal Exchanges represents a paradigm shift in coal marketing, moving away from the traditional one-to-many sales model to a competitive many-to-many trading platform.
The new framework is expected to enable transparent and market-based price discovery, improve efficiency, and provide coal producers, including commercial and captive miners, with access to a broader pool of buyers.
Public sector coal companies are also expected to benefit from enhanced market participation through the platform, the ministry said.
“The Coal Exchange initiative reflects the government’s commitment to enhancing ease of doing business, promoting transparency and building a modern, self-reliant energy ecosystem,” the ministry said.
It added that a more competitive and efficient coal market would strengthen energy security, support industrial growth, and contribute to the vision of Viksit Bharat through sustainable economic development and a future-ready energy sector.
(With inputs from IANS)
