Coal India 'strikes' green

Coal India is in the limelight currently, opening Rs.3 higher at Rs.382 and going into an intra day high at Rs.385. It is now at Rs.382 levels, up 2%. Volumes are modest.

The stock is showing some momentum after its trade union called off the strike. Some five lakh workers of the company had gone on a strike for two days till yesterday, protesting what it interpreted as ‘privatization’ of Coal India. The disinvestment process was construed as an attempt to privatize the company. The Govt assured the Union that it had no plans for privatization and would not compromise on employee interests.

This was an indefinite strike and two days no-work itself has caused a loss of Rs.300 crore. Thus with the strike called off, the loss has been stemmed.