India’s demand for coking coal is forecast to climb to 135 million tonnes by 2030, up from around 87 million tonnes in 2024–25. The steep rise reflects the rapid expansion of steel production required to fuel the country’s infrastructure growth under government-backed policies.
Coking coal is a vital raw material in the steelmaking process, particularly in blast furnace operations, and is therefore directly tied to the pace of industrial and infrastructure development. As India invests heavily in highways, railway corridors, industrial parks, urban housing, and transport networks, the demand for steel is expected to accelerate. This, in turn, drives the need for a reliable and larger supply of coking coal.
At present, India is heavily dependent on imports of coking coal, with domestic reserves limited in both scale and quality. This dependence exposes steel producers to global price fluctuations and supply chain risks. Analysts stress that ensuring consistent and affordable access to coking coal will be crucial to avoid bottlenecks as infrastructure projects gather momentum.
The rising demand outlook is expected to push policymakers and industry players towards long-term supply strategies, including diversifying import sources, strengthening trade ties with coal-exporting nations, and investing in logistics to handle higher volumes. It may also spur discussions on developing alternative technologies such as hydrogen-based steelmaking, though such innovations remain in their early stages.
For the steel industry, the forecast presents both a challenge and an opportunity. A secure supply of coking coal would enable producers to expand capacity in line with infrastructure requirements, supporting large-scale projects in roads, bridges, and railways. Conversely, supply disruptions or cost escalations could hinder progress, highlighting the need for a robust and forward-looking raw material policy.
