's coal production for2016 will be around 85 million tonnes, missing the government set target of 90million tonnes, Bloomberg News reported Sept. 26, citing the Colombian MiningAssociation.
SantiagoAngel, president of the mining association, said that output increases seenduring the second quarter from small and medium-sized miners in centralColombia might be attributable to improper data-recording, said the report.
Coalgiants digging coal in the Andean nation include , and , which mainlyexport coal to Europe. On Sept. 26, coal for European delivery in Octoberincreased by 1.9%, according to the report.
The country's coal industry hasmanaged to adjust to the downturn in coal prices by limiting expenses throughthe efficient use or machinery and contract renegotiation, the report said, butAngel noted that the companies would need to make forward looking decision oncapital expenditures that will affect future production. "There's a key moment, and that's whenyou have to replace existing machinery," he said. "I think it's gettingclose."
Angelsaid the government plans to send a tax bill to Congress in October, which willplay a vital role in determining the size and timing of future investments inthe industry, Bloomberg News wrote.