Misuse of Advance Authorisation Scheme in Met Coke Import
Domestic met coke manufacturers have raised concerns over the alleged misuse of the advance authorisation scheme by importers. The scheme is intended to facilitate imports for exports, but importers are reportedly using the imported coal for domestic steel production instead.
Met Coke and Steel Production
- Met Coke: A key feedstock in steel production.
- Production Ratio: One tonne of steel requires 0.5 tonne of met coke.
- India's Crude Steel Production: Approximately 160 million tonnes, necessitating 80 million tonnes of met coke.
Allegations and Concerns
- Steel Exports: India exports not more than 5 million tonnes of steel, suggesting a significant portion of imported coke is used domestically.
- Met Coke Imports: India imports 2.8 million tonnes of met coke annually.
The Indian Metallurgical Coke Manufacturers Association (IMCOM), represented by convener Raj Agarwal, is calling for an investigation into these practices to ensure the scheme's intended purpose is upheld.
