The Ministry of Steel has asked the Ministry of Finance to withdraw anti-dumping
tariffs on low-ash metallurgical coke imports, citing inadequate
domestic supplies and higher prices, according to a government
document reviewed by Reuters.
India, the world’s second-largest crude steel producer,
imposed a provisional anti-dumping duty on low-ash metallurgical
coke – known as met coke – imports in December for six months.
India primarily imports met coke from China, Indonesia,
Poland, Japan and Switzerland. Import volumes are down sharply
since the curbs were imposed, industry experts say.
“Concerns have emerged regarding the limited availability of
met coke in the domestic market and a substantial increase in
domestic prices following the imposition of ADD, which has
imposed a significant financial burden on steel manufacturers,”
the Steel Ministry said in a May 18 office memorandum, referring
to anti-dumping duties with an acronym.
The ministries did not respond to emails from Reuters
seeking comment.
The Steel Ministry highlighted the difficulties faced by
state-run Rashtriya Ispat Nigam Ltd (RINL), saying the
company had been unable to procure adequate quantities of met
coke at reasonable prices from the domestic market, resulting in
a 20% rise in input costs.
RINL, which is undergoing a government-backed financial
revival, has seen its operational viability and competitiveness
adversely affected by inadequate supplies of met coke, the Steel
Ministry memorandum said.
RINL did not respond to a Reuters email seeking comment.
The Steel Ministry also flagged concerns for small and
medium-sized steelmakers, which rely heavily on merchant
suppliers for met coke.
“The domestic market has not been able to ensure adequate
availability of met coke at competitive rates to meet the
requirements of the steel industry,” it said.