JSW Steel has temporarily paused its plan to source coking coal from Mongolia due to major logistical challenges. According to Jayant Acharya, JSW Steel’s Joint Managing Director, transporting the material from the landlocked Central Asian nation is not currently feasible. Coking coal is a crucial raw material for steel production, and India is the world’s second-largest steel producer.
India is highly dependent on imports for this raw material, with over 90% of its coking coal needs met by a few countries, primarily Australia. The government has been looking for ways to diversify coking coal imports to reduce dependency and stabilize prices. JSW Steel will continue to get coking coal from its existing suppliers to meet its operational needs.