Import of coking coal from Canada is likely to rise in future keeping pace with the increase in steelmaking capacity in India, the Steel Ministry said in a statement today.
As per the production targets in National Steel Policy 2017, the coking coal requirement is projected to increase from the current level of around 60 million tonnes per annum (MTPA) to 160 MTPA.
Although various measures are being taken to increase the supply of indigenous coking coal, dependence on import would continue. In such a scenario, multiple options for sourcing coking coal imports would lead to cost advantage and choice, the statement said.
Canada annually exports about 30 million tonnes of coking coal out of which Indian steel companies purchase around three million tonne.
According to the statement, Steel Minister Birender Singh led a delegation comprising senior officials from the ministry and its PSUs to Canada earlier this month. The minister had extensive interaction with Canadian Natural Resource Minister James Carr.
The discussion included growth of steel industry in India and the strategic importance of Canadian coking coal for Indian steelmakers, collaborations in the area of environmental friendly mining, coal beneficiation and R&D.
Another highlight of the visit was wide-ranging deliberations with representatives of Canadian Institute of Steel Construction (CISC).
Singh expressed keen interest in the working and structure of the institute with the objective of exploring the possibility of setting up the same in India.
The delegation held a joint meeting in Toronto, with various steel-related Canadian institutions and industry representatives for deliberating on issues of mutual interest.
It discussed efficient mining and logistics managements, enhancing steel intensity of the Indian economy, R&D in steelmaking and promotion of steel as a preferred material for construction.
Earlier, the delegation visited a coking coal mine in the State of British Columbia.
Disclaimer: No Business Standard Journalist was involved in creation of this content
