Key Facts and Data Points
- Ash content criterion: Low ash metallurgical coke = ash < 18%.
- Anti‑dumping duty: Provisional duty of USD 60 – USD 130 per tonne.
- Import restriction period: Initially extended by DGFT from 1 Jan to 30 Jun 2026; lifted after duty approval.
- India’s coking coal reserves: 16.5 bn t (medium‑quality) + 5.13 bn t (prime‑quality).
- Import dependence: ~85% of coking coal is imported as domestic coal is largely unsuitable for metallurgical use.
Background and Context
- Metallurgical coke (met‑coke): High‑carbon fuel derived from coking coal, essential for blast‑furnace steelmaking; acts as both fuel and reducing agent.
- Low‑ash & ultra‑low‑phosphorus variants: Required for producing high‑grade steel with superior mechanical properties.
- Trade measure: Anti‑dumping duty is a remedial instrument under WTO rules, imposed when imports are sold below normal value causing material injury to domestic industry.
- Policy timeline:
- Dec 2025: DGFT extended quantitative import curbs due to absence of anti‑dumping duty.
- Early 2026: Ministry of Finance approved provisional anti‑dumping duty.
- Subsequent weeks: DGFT removed quantitative curbs, allowing imports under duty.
Significance for India / Governance / Policy
- Ensuring raw‑material security: By allowing imports under duty, the steel sector avoids supply shocks while protecting domestic coke producers.
- Balancing protectionism and competitiveness: The duty range is calibrated to offset dumping margins without completely shutting out cheaper imports.
- Strategic importance of steel: Steel is a backbone industry for infrastructure, defence, and manufacturing; uninterrupted coke supply is vital.
- Resource management: Highlights the gap between India's coal reserves and the quality needed for metallurgical applications, prompting discussions on upgrading domestic coal or diversifying import sources.
Related Constitutional / Legal Provisions
- Article 301 & 302 of the Constitution: Freedom of trade, commerce, and intercourse throughout India; subject to reasonable restrictions.
- WTO Agreement on Anti‑Dumping (Agreement on Implementation of Article VI of the GATT 1994).
- Customs Act, 1962 & Foreign Trade (Development and Regulation) Act, 1992: Provide legal framework for imposing anti‑dumping duties.