SAIL has apprised Coal India Limited (CIL) of the negative impact of the recent hikes in Coking Coal prices by the latter’s subsidiaries—Bharat Coking Coal Limited and Central Coalfields Limited. The largest steel maker in India sought CIL’s proactive intervention in this regard.
SAIL said that it became difficult for absorbing the higher prices, and pressure on its operations mounted as a result of the price hike.
Both the subsidiaries of CIL have recently revised their Coking Coal prices upwards, by 20%, raising prices of various Coking Coal grades by INR 2,400-INR 5,050/MT.
SAIL imports 86% of its Coking Coal requirement, and the rest is sourced domestically. The steel major also has a captive Coking Coal production of 0.5 MnT.
SAIL expects a working model to come out soon.
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