Coal India on Friday announced plans to invest ₹3,300 crore to set up eight coking coal washeries with a combined capacity of 21.5 million tonnes per annum (mtpa) by FY30, as part of efforts to improve domestic coal quality and reduce import dependence.

Of the proposed facilities, five will come up under Central Coalfields Limited and three under Bharat Coking Coal Limited. These will be in addition to the miner’s existing 10 washeries with a cumulative capacity of 18.35 mtpa.

Coal India will also invest ₹300 crore in the renovation and modernisation of existing washeries to enhance efficiency and utilisation. The company said the calibrated expansion is aimed at improving domestic coking coal quality and moderating import reliance over time.

India’s coking coal imports have risen from 51.20 million tonnes in 2020–21 to 57.58 million tonnes in 2024–25. At present, nearly 95 per cent of the steel sector’s coking coal requirement is met through imports, resulting in significant foreign exchange outgo.

The company has already monetised one washery under Bharat Coking Coal and plans to monetise three older, non-operational units in line with the National Monetisation Policy. The government had earlier notified coking coal as a critical mineral under the MMDR Act.