Indian steelmakers are pressing the government to significantly raise the import quota for low-ash metallurgical (met) coke, citing acute shortages that threaten to restrict capacity expansion and production schedules. Major producers, including JSW Steel and ArcelorMittal Nippon Steel India, have jointly sought an increase in the quota from the current 1.4 million metric tonnes to 9.3 million metric tonnes.
Met coke is a vital raw material in the blast furnace process, used for producing pig iron which is later refined into steel. Industry executives argue that domestic supplies remain insufficient to meet the sector’s requirements, particularly at a time when India’s infrastructure push is driving up demand for steel. The shortage, they warn, could create bottlenecks for ongoing and planned projects, undermining the industry’s ability to support the country’s economic growth and development goals.
Despite the urgent requests, government authorities have indicated a reluctance to ease restrictions. Officials maintain that current domestic supply levels are adequate and that lifting the quota could discourage investment in indigenous coke production. The policy stance highlights the ongoing balancing act between supporting domestic industries and meeting the immediate raw material needs of steelmakers.
Industry bodies have cautioned that failure to address the shortfall could delay capacity expansion projects and compromise India’s ambition of scaling up steel output to 300 million tonnes annually in the coming years. They emphasise that a more flexible import policy would not only ensure supply stability but also strengthen India’s competitiveness in the global steel market.
The debate underscores the strategic importance of raw material security in the steel sector, which remains a cornerstone of India’s industrial growth.
