Coal India Limited has announced that, effective January 1, 2026, coal consumers located in neighbouring countries will be allowed to directly participate in its Single Window Mode Agnostic (SWMA) coal auctions. Buyers from Bangladesh, Bhutan and Nepal will now be eligible to take part in these e-auctions without routing purchases through Indian coal traders.
The decision follows recent approval by Coal India’s Board, which modified the existing SWMA auction mechanism to enable participation by foreign buyers. Earlier, coal consumers from across the border could access Coal India’s coal only through domestic traders who were permitted to buy and sell coal without any end-use restrictions.
Under the revised framework, foreign buyers can participate in SWMA auctions alongside domestic consumers through the same digital bidding process. Coal India has updated the scheme to include all operational and procedural requirements applicable to overseas participants.
As per the revised guidelines, foreign buyers will be required to complete a one-time registration process and place bids electronically. Payments will need to be made in advance through approved electronic modes, and coal exports will be carried out through notified logistics channels.
The payment process will follow the provisions of the Foreign Exchange Management Act (FEMA). Buyers from Nepal will be allowed to make payments either in INR or US Dollar. Buyers from Bangladesh and Bhutan will be required to make payments in US Dollars, with pricing linked to INR-based valuation.
Coal India stated that it had earlier held discussions with prospective coal consumers from neighbouring countries to identify enabling provisions under the policy and to understand their coal requirements. Based on these interactions, the necessary changes were incorporated into the SWMA scheme.
