Problems and Prospects of Coal Industry in India: A Case Study

Coal is an important component of commercial energy in India, accounting for a share of 60%. The present work also deals with certain aspects of Coal Industry in South India. The work concentrates on analyzing input-output prices and relations as also productivity trends in the SCCL public enterprise. Coal has high forward linkages with the rail-transport, power, steel and other industries. The cost structure, behaviour of input-output prices and productivity trends in the coal industry will govern the fortunes of rail transport and other coal consuming industries in particular and the economy in general. Hence, an attempt has been made to identify, quantify and analyse the composition of major inputs and their prices in the SCCL in the context of changing technical progress. Hopefully, this enables to have an insight into the understanding of the trends in productivity. To suit Indian conditions and market structure the Neo-Classical methodology pertaining to Total Factor Productivity has been abandoned. To understand physical input-output relations overtime, convertion of cost and prices are relevant. No doubt a pioneering study of the kind will serve as an incentive to other researchers in the field.