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Now, an MIP for coal? Unions demand safeguard

11 Mar 2016

Taking a cue from the steel sector, coal unions in India have put forward a demand for the imposition of a minimum import price (MIP) for coal imported into the country.


“We demand imposition of an MIP for imported coal. This is to safeguard the interest of the domestic coal sector and its workers,” a top office-bearer of the All India Coal Workers’ Federation (AICWF) told ICMW.

 

Noting that coal prices have come down sharply in the international markets, he said, “Many of the major coal-producing nations have stopped using coal as fuel. This has resulted in surplus production which is being dumped into India. We want to stop this trend.”


Going by the current market scenario, he said, international coal prices are expected to remain soft for years to come. “This, coupled with the slackness in demand from domestic users, poses a threat to the mining companies. Already, Coal India is regulating production at its mines.”


The unions, therefore, would urge the Union government to treat coal imports at par with cheap steel imports being dumped by China and Korea, he added.