India sees a good possibility of increasing the import of coking coal (coal used in steel making) from America. This is because India is increasing its steel making capacity. According to Reuters report, top Coal Ministry official Vikram Dutt said this on Thursday. Vikram Dutt said that before the India Energy Week program, bilateral talks have taken place between the officials of India and the US Department of Energy. This program is currently running.
India, the world's second largest crude steel producer, is dependent on imports for about 85% of its coking coal needs. More than half of this coal comes from Australia. India is now trying to increase supply from other countries also. At present, about 10% of India's total coking coal imports come from America. Coal found in India has high amount of ash, hence its use is limited in making steel.
US Energy Department official Kyle Hostvedt said that America is actively trying to support its coal industry and increase exports. He said, we have come to meet the Indian government so that both the countries can work together through new technology and innovation. However, both Kyle Hostvedt and Vikram Dutt did not say by how much India can increase the import of coking coal from America.
Apart from this, officials of India and America are also discussing a possible bilateral trade deal. Last year, this discussion broke down after talks between the two governments broke down.
