After failing to get a response during its first attempt to find a vendor for coal import contract, Coal India Ltd (CIL) has issued a re-tender for import of coal with some modifications.
CIL, the country's biggest miner of coal, made modifications in the tender in a bid to receive a better response from prospective vendors. The tender will likely open in first week of this month.
CIL Director (marketing) Bipin Kumar Saxena said, "We have issued re-tender for the coal import contract with some modifications. The tender is likely to open in first week of this month. We are hopeful of receiving interest from prospective vendors."
The miner's first attempt for finding a vendor for the contract of importing 5 million tonnes of coal, valued at around Rs 3,000 crore, had failed.
To meet its fuel supply agreement obligations, CIL sought to import coal on behalf of its consumers on a cost-plus basis. Of the total requirement, it would supply 65 per cent through domestic sources and the remaining 15 per cent through imports.
The gap between demand and supply of coal is expanding for CIL as it is facing a production shortfall. During April-December period of 2013, it suffered a shortfall of 17 million tonnes. India requires around 600 million tonnes of coal a year against domestic production of 482 million tonnes.
Source: Top News