In an effort to optimize the use of available raw materials, the Ministry of Steel has instructed integrated steel manufacturers to incorporate iron ore fines into their steel production processes after they undergo beneficiation. Additionally, sources indicate that the ministry has recommended exploring the acquisition of coking coal mines overseas.
To optimize the use of existing raw materials, the Ministry has instructed integrated manufacturers to utilize iron ore fines in steel production following their beneficiation. Sources indicate that the ministry has also recommended exploring options for acquiring coking coal mines overseas.
This initiative aims to enhance the availability of raw materials at competitive prices. “It has been communicated to industry players that iron reserves in the country are finite, and to conserve these resources, they must also process low-grade ore through beneficiation. Additionally, they should consider sourcing coking coal mines outside of India,” the sources stated.
Iron ore and coking coal are essential raw materials in steel manufacturing via the blast furnace method. While iron ore is relatively abundant, India remains largely reliant on imports for coking coal. Major producers typically use only high-grade ore (lumps) with an iron content of 65 percent or higher for blast furnace production. In contrast, fines are lower-grade ores containing 64 percent iron or less, and their beneficiation can significantly increase production costs.
