JSW Steel has increased the quantum of pulverised coal being purchased from Russia to 10-15 per cent of its requirements in recent times, the company's Deputy Managing Director Vinod Nowal said on Friday.
The higher purchases by JSW Steel, one of the country's leading steel producers, also come amid the Russia-Ukraine conflict, which has disrupted raw material supplies to various sectors, including steel.
"We have increased our supplies of pulverised coal from Russia up to 10-15 per cent of our requirement. Earlier, it was in the range of 2-3 per cent," Nowal told PTI.
He was responding to a query about the amount of coal that the company was importing from Russia.
The pulverised coal is used by steelmakers in the blast furnace (BF) as an auxiliary fuel. Pulverised Coal Injection (PCI) is a process that involves injecting large volumes of fine coal particles into the raceway of the BF.
Interestingly, in April this year, Tata Steel announced that it will stop doing business with Russia amid the ongoing conflict with Ukraine. The company was sourcing a limited amount of coal from Russia for its operations.
About correction in steel prices, Nowal said "at present, per tonne HRC (Hot-Rolled Coil) is at Rs 72,000-Rs 73,000 per tonne".
In March, while HRC was in the range of Rs 76,000-77,000 per tonne, Cold-Rolled Coil (CRC) was costing as high as Rs 85,000-86,000 per tonne.
According to Nowal, the prices of coking coal, a raw material used for making steel, have also gone down by USD 200 a tonne.
Recently, the price of coking coal in the international market was USD 700 per tonne.
However, "the rate has gone back to USD 500 per tonne. This is still high as it was earlier at around USD 100 per tonne. They have to come to a reasonable level," he noted.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)